Weekly Market Update - 18 September 2023

CPI

Stocks, bonds and the dollar saw small moves after a mixed inflation report reinforcing speculation the Fed will pause its rate hikes but also refrain from calling the end of its tightening cycle. August’s core CPI, which excludes food and energy costs, advanced 0.3% from July, the first acceleration in six months. From a year earlier, it increased 4.3% — in line with estimates and marking the smallest advance in nearly two years.

Source: Bloomberg

ARM IPO

Arm has confirmed it priced its IPO at the top end of its range, raising $4.87 billion in the largest listing of the year. The chip designer, which is owned by SoftBank, sold 95.5 million American depositary shares for $51 each. The shares began trading last Thursday.

Source: Bloomberg

Alibaba Reshuffle

Alibaba’s former chief Daniel Zhang has quit just months after agreeing to lead its cloud division, introducing another layer of uncertainty to China’s largest e-commerce company as it’s navigates a complicated breakup.

Zhang assumed the post after ceding his dual roles of CEO and chairman to Eddie Wu and Joseph Tsai — both close confidantes of Alibaba co-founder Jack Ma — who formally took up their positions on Sunday. The pair will oversee the breaking up of the internet giant into several separate companies in a bid to turn around the $230 billion corporation, which has struggled to regain its footing since Beijing’s regulatory assault against the internet sector in 2021.

Source: Bloomberg