Weekly Market Update - 31 October 2022

Done Deal

After completing his $44 billion purchase of Twitter, Elon Musk plans to assume the role of CEO at the company. He intends to replace Parag Agrawal, who was fired along with other major executives upon completion of the takeover, a person familiar with the matter said. Musk also intends to do away with permanent bans on users because he doesn’t believe in lifelong prohibitions. That means people previously booted off the platform may be allowed to return, a category that would include former president Donald Trump, the person said.

Source: Bloomberg

Amazon Slips

Amazon’s market value is set to fall below $1 trillion after its disappointing earnings report late Thursday sent investors running for the exit. The stock had fallen as much as 21% in after-hours trading Thursday, and it slid about 14% on Friday in premarket trading. If premarket losses hold, about $143 billion in value would be wiped off the company and the stock would register its biggest drop since April 29.

Source: Bloomberg

World Domination

President Xi Jinping has put himself in position to rule China for at least another decade, and possibly for life. By 2049, the 100th anniversary of the People’s Republic of China, Xi wants to ensure the nation “leads the world in terms of composite national strength and international influence.” His consolidation of power at last week’s Communist Party congress rattled investors. The question now is what he will do with all that power. In other news, Chinese airlines will increase international flights from this weekend, Apple supplier Foxconn has Covid cases on its biggest campus, and US Secretary of State Antony Blinken says Beijing wants to speed up its seizure of Taiwan.

Source: Bloomberg