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Futures, Global Stocks Slide, Dollar Jumps On Rising US-China Tensions, Fed Outlook

Futures, Global Stocks Slide, Dollar Jumps On Rising US-China Tensions, Fed Outlook

The post-payrolls slump in US stocks and global markets…



Futures, Global Stocks Slide, Dollar Jumps On Rising US-China Tensions, Fed Outlook

The post-payrolls slump in US stocks and global markets was set to deepen on Monday amid jitters around the Fed's policy outlook and an escalation of tensions between Washington and Beijing. Nasdaq 100 futures were down 1.2% as of 745 a.m. ET while S&P 500 futures fell 0.6%, both well off session lows, as investors watched developments between the US and China over a suspected spy balloon, with pressure mounting on President Joe Biden to retaliate with new export controls on sensitive technology, setting back a recent improvement in US-China relations.

Japanese stocks climbed and the yen weakened after the Nikkei reported that the government had approached Bank of Japan Deputy Governor Masayoshi Amamiya about succeeding Haruhiko Kuroda as head of the central bank. While the Japanese government refuted the report, investors assume a greater likelihood of the current ultra-easy monetary policy enduring if one of its architects succeeds Kuroda. The Stoxx Europe 600 index dropped more than 1% after closing Friday in a bull market, with the technology and real estate sectors leading the retreat. 10Y TSY yields jumped as high as 3.60% while the dollar climbed for a third day, hitting a 4 week high after a gauge of its strength rose more than 1% Friday, oil drifted modestly higher after a massive earthquake in Turkey halted oil pipeline flows to the Ceyhan export terminal.

US-listed Chinese stocks were on track to fall for a third session, after Washington’s move to shoot down an alleged surveillance balloon from China spurred new tensions between the two countries. The US sent divers to salvage what they believe is spy equipment from the Chinese balloon off the coast of South Carolina, with pressure mounting on President Joe Biden to hit back at Beijing with new export control measures.

Among the biggest premarket movers, Newmont Mining dropped after it offered to buy Australia’s Newcrest Mining in a $17 billion deal that would strengthen the US mining powerhouse’s position in copper and gold. Datadog shares are in focus after KeyBanc Capital Markets downgraded the stock to sector weight from overweight. At the same time, the brokerage upgraded Splunk Inc. to overweight from sector weight. Here are some other notable premarket movers:

  • US-listed Chinese stocks are on track to fall for a third session after Washington’s move to shoot down an alleged surveillance balloon from China spurred new tensions between the two countries. Alibaba declined 1.8% before the bell, Baidu -0.4%, Pinduoduo -3%, -2.4%, -1.1%, Bilibili -2.8%
  • Spotify (SPOT US) gains 1.5% after Wells Fargo and Atlantic Equities raise the music streaming company to buy-equivalent ratings, citing improved margins.
  • PayPal (PYPL US) declines 2.8% as it was cut to market perform from outperform at Raymond James in view of the stock’s out-performance so far this year, paired with the broker’s “cautious stance” on the digital payment company’s 4Q results.
  • Catalent (CTLT US) surges 20% following a Bloomberg report that Danaher (DHR US) is said to be interested in the company, valuing the target at a significant premium. Analysts highlighted that a deal would mean that Danaher would add a contract developing and manufacturing organization (CDMO) to its portfolio.
  • Dow (DOW US) shares edge 0.4% higher as Credit Suisse raised the chemicals company and its peer LyondellBasell (LYB US) to outperform, saying that both should benefit from investors looking optimistically toward 2024 for the US polyethylene market.

US stocks declined on Friday as a laughably strong jobs report fanned fears that the Fed could keep interest rates higher for longer. Still, the drop wasn’t sufficient to wipe out weekly gains in the S&P 500 as investors clung to optimism that the central bank’s policy meeting signaled it was preparing to soften its stance on policy over the next few months. The benchmark index has now gained nearly 8% so far this year, but market strategists warned the rally may have gone too far.

“Central bankers did sound less hawkish last week, but they will remain data dependent, only ending rate hikes when economic data provides compelling evidence that inflation is returning to target,” said Mark Haefele, chief investment officer at UBS Global Wealth Management. “In our view, markets have moved too quickly to price in this pivot.”

Goldman strategists also capitulated on the recent market meltup, lifting their 3-month S&P price target from 3,600 to 4,000 but also said they see limited upside for stocks from hereon amid pressure from higher valuations, elevated interest rates and a lackluster corporate earnings outlook. Morgan Stanley’s Michael Wilson broadly shares that view, while JPMorgan Chase & Co. strategists said international markets continue to screen as “much more interesting” than the US. In short: banks remain largely bearish which is why stocks will keep rising.

“The state of the employment sector is a significant factor in the Federal Reserve’s decision-making process, and thus the number has certainly provided investors with another factor to consider when predicting the course of the Fed’s movements over the next couple of months,” economists at Rand Merchant Bank in Johannesburg wrote in a note.

Elsewhere, more than 1,000 people have been killed in Turkey and neighboring Syria after the countries were hit by some of the most powerful quakes in the Middle East in decades. Turkey’s lira held steady against the dollar, while the country’s benchmark stock index dropped, with the Istanbul exchange suspending short selling as part of measures to limit wider market fallout.

European stocks also started the week on the back foot: the Stoxx 600 is down 1.1% with real estate, tech and retailers the worst-performing sectors. Here are some of the most notable premarket movers:

  • Vesuvius shares fall as much as 6.7% after the materials technology company reported a “cyber incident” involving unauthorized access to its systems
  • Aurubis shares fall as much as 7%, the most since December, despite the copper smelting firm guiding to earnings at the upper end of expectations
  • Idorsia shares slump as much as 15%, most ever, after the Phase 3 trial of clazosentan failed to meet its main goals
  • Hargreaves Lansdown shares fall as much as 4% after the stockbroker is cut to underperform from neutral at Credit Suisse on concerns about key strands of its growth strategy
  • 3i Infrastructure falls as much as 3.2% after the private equity firm announced a proposed placing at a price of 330p per placing share, representing about a 3% discount to the last close
  • Lem shares fall as much as 3.5%, with Vontobel expecting a slowdown in demand in the near-term for the Swiss electrical component manufacturer
  • Rothschild shares gain as much as 19% to €47.70 after the Rothschild family’s holding company announced its intention to file a simplified tender offer at €48/share with dividends attached

Earlier in the session, Asian stocks also fell as concerns over US-China geopolitical tensions fueled risk-off sentiment in the region, with traders also mulling the prospect of further interest rate hikes by the Federal Reserve. The MSCI Asia Pacific Index dropped as much as 1.6%, the most in over seven weeks, dragged by technology shares. Stocks in China and Hong Kong were among the worst performers after the US shot down an alleged Chinese spy balloon off the South Carolina, raising the risk of retaliation from Beijing. Also weighing on sentiment was an unexpectedly strong US jobs report, seen as giving the Federal Reserve room to remain aggressive in its fight against inflation. Investor optimism had risen recently on signs of a moderation in Fed rate hikes as well as China’s post-pandemic reopening.

“Admittedly, a reassessment of geopolitical and policy risks will almost certainly be forced upon markets, taking some air out of stretched ‘pivot’ and China cheer,” said Vishnu Varathan, Asia head of economics and strategy at Mizuho Bank Ltd.  Japanese shares bucked the region’s losses on Monday, as the yen weakened after a report that Masayoshi Amamiya was approached by the government to lead the Bank of Japan, fueling hopes of continued easy-money policy.

Japanese stocks gained after the Nikkei reported that Masayoshi Amamiya was approached by the government for the role of Bank of Japan governor, a report which however was promptly denied by Japanese authorities. Investors expect a greater likelihood of Haruhiko Kuroda’s ultra-easy monetary policy being extended under Amamiya than with other candidates. “Since Amamiya was the most dovish candidate, this is positive news for the Japanese stock market,” said Ayako Sera, a market strategist at Sumitomo Mitsui Trust Bank Ltd. “Share prices are likely to swing upward until the official announcement this Friday, and that might be the climax for stocks.” The Japanese currency fell as much as 1% Monday to around the 132.50 per dollar level, its lowest in three weeks. Shares of automakers and property firms climbed while banks and other financials fell. Yen Retreats After Report Amamiya Approached to Become BOJ Chief The Topix rose 0.5% to close at 1,979.22, while the Nikkei advanced 0.7% to 27,693.65. Mitsubishi Corp. contributed the most to the Topix gain, increasing 7.8%. Out of 2,164 stocks in the index, 1,416 rose and 640 fell, while 108 were unchanged.

Australian stocks declined: the S&P/ASX 200 index fell 0.3% to close at 7,539.00, weighed by losses in real estate shares and banks.  Meanwhile, Newcrest Mining closed 9% higher after Australia’s biggest gold miner received an indicative takeover proposal from US-based Newmont Corp. Markets in New Zealand were closed for a public holiday.

Stocks in India declined as most Asian markets slipped amid concerns over US-China geopolitical tensions. The rout in Adani Group’s shares eased as four of ten companies advanced after Billionaire Gautam Adani and his family prepaid $1.11b worth of borrowings backed by shares. The move comes amid the conglomerate’s attempts to allay investor fears and stem a stock rout that has wiped of about $118 billion of stock value. The S&P BSE Sensex fell 0.6% to 60,506.90 in Mumbai, while the NSE Nifty 50 Index declined 0.5%. Ten out of BSE Ltd.’s 20 sector sub-gauges advanced while the rest fell. Metals and utility companies were the worst performers.  Telecom stocks were higher after India agreed to convert $2b of Vodafone Idea’s dues into equity.    The Reserve Bank of India’s three-day policy meeting commenced Monday. The central bank will release its rate decision Wednesday morning, with majority analysts expecting a 25-bps rate hike to curb inflation. Infosys contributed the most to the Sensex’s decline, decreasing 1.8%. Out of 30 shares in the Sensex index, 21 fell and nine rose

In FX, the Bloomberg Dollar Spot Index rose 0.4% to its highest level in nearly four weeks as the greenback strengthened against all its Group-of-10 peers apart from the Swiss franc; the Japanese Yen is the weakest among the G-10 currencies amid speculation over the next BoJ Governor.

  • The euro fell below $1.08, to trade at the weakest level since mid- January, despite a slew of hawkish ECB commentary. Bunds fell, adding around 5-9bps to yields after hawkish commentary from policymakers. The ECB is far from stopping interest-rate increases, despite a slowdown in inflation, according to Governing Council member Bostjan Vasle. It should actively fight inflation until people feel price stability in their everyday lives, according to Governing Council member Robert Holzmann. The central bank would need to see data that “significantly differ” from what’s currently anticipated to avoid raising interest rates by 50 basis points in March as planned, Governing Council member Martins Kazaks said in a tweet. German factory orders grew 3.2% in December from the previous month, more than the 2% rise analysts had predicted in a Bloomberg survey
  • The yen slipped against all Group-of-10 peers amid speculation that an appointment of Masayoshi Amamiya as a next governor wouldn’t deter the Bank of Japan from withdrawing monetary stimulus.
  • The pound neared the $1.20 handle after posting its worst week against the dollar since September. Gilts bear-flattened with the two-year yield rising 19 basis points. The notes extended losses as Bank of England policy maker Catherine Mann warned against complacency in tackling inflation and says another rate hike is likely
  • The Swedish krona fell to its lowest level against the euro since 2009, amid broad-based dollar strength and as concerns abound over the state of the nation’s economy

In rates, treasuries extended Friday’s jobs-report selloff with yields climbing a further 5bp to 10bp across the curve over Asia, early London sessions as central bankers reinforce hawkish message and tightening premium is added into swaps. The Treasury curve bear-flattened as front-end yields added up to 12 bps with 10Y yields rising 8bps to 3.60%. US curve bear-flattens with front-end and belly of the curve cheaper up to 10bp on the day while long-end yields rise 4.5bp; 2s10s and 5s30s spreads are tighter by ~2bp and ~5bp. In 10-year sector gilts lag, underperforming by 9bp vs Treasuries, bunds by 2bp. Gilts extended declines after hawkish remarks from BoE policymaker Mann. UK two-year yields are up 15bps. In the US, the dollar issuance slate includes three dollar deals; projections for the week range between $30b and $35b as most companies emerge from their self-imposed earnings blackout periods. US auctions resume Tuesday with $40b 3- year notes, followed by 10- and 30-year sales Wednesday and Thursday.

In commodities, oil climbed after Turkey halted flows to the Ceyhan export terminal on the Mediterranean coast as a precaution in response to the devastating earthquakes in the region Monday. Crude futures are higher with WTI rising 0.6% to trade near $73.80. Spot gold rises roughly 0.4% to trade near $1,873.

There is no macro data on the calendar today.

Market Snapshot

  • S&P 500 futures down 0.6% to 4,123.00
  • MXAP down 1.5% to 165.97
  • MXAPJ down 2.2% to 541.80
  • Nikkei up 0.7% to 27,693.65
  • Topix up 0.5% to 1,979.22
  • Hang Seng Index down 2.0% to 21,222.16
  • Shanghai Composite down 0.8% to 3,238.70
  • Sensex down 0.6% to 60,499.33
  • Australia S&P/ASX 200 down 0.3% to 7,538.98
  • Kospi down 1.7% to 2,438.19
  • STOXX Europe 600 down 0.8% to 457.16
  • German 10Y yield little changed at 2.25%
  • Euro down 0.1% to $1.0781
  • Brent Futures little changed at $79.98/bbl
  • Gold spot up 0.5% to $1,875.08
  • U.S. Dollar Index up 0.24% to 103.16

Top Overnight News from Bloomberg

  • The US sent divers to salvage what they believe is spy equipment from the Chinese balloon shot down off South Carolina, as pressure mounted on President Joe Biden to hit back at Beijing with new export controls on sensitive technology
  • There are early indications traders are gearing up for another period of bond scarcity in Europe that risks blunting the impact of monetary tightening
  • The UK Treasury is exploring a significant increase in the bonds it sells to retail investors, a move that analysts say may draw in as much as £70 billion ($85.8 billion) for financing deficits in the coming years
  • If reports are accurate and Masayoshi Amamiya becomes the next BOJ governor, that would be bullish for bonds and weigh on the yen and local financial stocks, according to market participants
  • Japan’s government plans to submit its nominations for the new Bank of Japan governor and 2 deputy governors next week, Kyodo reported, without attribution
  • The Hong Kong dollar is rapidly heading toward the weak end of its trading band against the greenback as traders sell the currency to buy higher-yielding US assets
  • One of the most powerful earthquakes to hit the Middle East in years has killed hundreds of people in Syria and Turkey, and forced a halt in crude oil flows to a key export terminal

A more detailed look at global markets courtesy of Newsquawk

APAC stocks began the week mostly on the back foot after last Friday’s losses in the US where a blowout jobs report spurred hawkish rate bets and was seen to boost the Fed’s resolve of lifting rates further to above 5%. ASX 200 was subdued heading into tomorrow’s RBA decision and after a jump in the MI Inflation Gauge added to the inflationary narrative, although the downside was limited after quarterly Retail Sales data printed not as bad as feared and amid M&A prospects with Newmont making a USD 16.9bln offer for Newcrest Mining. Nikkei 225 outperformed after a report that Japan’s government sounded out BoJ's Amamiya about becoming the next BoJ Governor with Amamiya seen as more dovish compared to other candidates and was also a key architect in many of the BoJ’s policies including QQE with YCC, although the report was later refuted by a senior government official. Hang Seng and Shanghai Comp. were lower with Hong Kong pressured by losses in tech, healthcare and property, while risk sentiment was also clouded by tensions after the US shot down China’s spy balloon.

Top Asian News

  • Japan’s government has sounded out BoJ Deputy Governor Amamiya about becoming the next BoJ Governor with the government to present its nominee to parliament this month, while Amamiya is seen as more dovish than the other potential candidates and will face the task of normalising the BoJ’s ultra-loose policy, according to Nikkei citing government and ruling party sources. However, Finance Minister Suzuki said he hasn't heard anything on BoJ Governor nominations yet and Deputy Chief Cabinet Secretary Isozaki later said there was no truth to the report that BoJ Deputy Governor Amamiya was sounded out for the next BoJ Governor.
  • Japanese government is likely to present nominees for the new BoJ governor next week, according to Kyodo.
  •    US military shot down the Chinese spy balloon off the US coast after US President Biden issued the order to take down the balloon, while a US defence official said it was a spy balloon intended to spy on sensitive military sites and part of a fleet of surveillance balloons that have spied over five continents, according to Reuters.
  • China’s Foreign Ministry said it expresses strong dissatisfaction and opposition towards the US’s use of force to attack the airship, while it claimed that the balloon incident was a complete accident caused by a force majeure. Furthermore, it noted that top diplomat Wang Yi communicated with US Secretary of State Blinken on how to deal with accidental incidents in a calm and professional manner, as well as told Blinken that both parties need to communicate in a timely manner and avoid misjudgements, according to Reuters.
  • China’s Defence Ministry said the use of force against the Chinese civilian unmanned airship was an obvious overreaction and China reserves the right to use necessary means to deal with similar situations, according to Reuters.
  • US is considering sanctions for Chinese surveillance companies regarding sales to Iran’s security forces, according to WSJ.
  • US is reportedly mulling deploying medium-range missiles in Japan as part of a plan to bolster defences against China along the East and South China Seas, according to Sankei.
  • China's Commerce Ministry says the Australian and Chinese trade ministers held a virtual meeting on February 6th, conducted pragmatic and candid exchanges; meeting was an important step in getting relations back on track, willing to restart the economic and trade exchange mechanism with Australia.

European bourses are lower across the board, Euro Stoxx 50 -1.5%, as Friday's post-NFP price action continues to reverberate. Stateside, futures are similarly pressured ES -1.0% given the hawkish repricing, as such the tech-laden/yield-sensitive NQ -1.3% is lagging.

Top European News

  • A magnitude 7.7 earthquake hit Turkey near the border with Syria which killed dozens on both sides and injured hundreds, while Turkey's disaster agency reported that 76 were killed and 440 were injured, according to Reuters. Subsequently, a new earthquake of magnitude 7.8 has struck southern Turkey, according to journalist Stein; earthquake was also reported in the Syrian capital Damascus.
  • EU will accept the principle that GB goods shipped to N. Ireland and staying there should be treated differently to goods moving into the single market, as such will agree to a green & red lane model at ports, via RTE's Connelly citing a senior EU source; a separate source adds that there will not be an announcement this week.
  • UK PM Sunak was warned by senior Tories that he would face a backlash from the party and certain defeat in the House of Commons if he attempts to take Britain out of the European Convention on Human Rights, according to FT.
  • ECB’s Visco said short-term inflation expectations are dropping sharply and policy tightening can continue with due caution, while he added that longer-term inflation expectations are consistent with the price stability goal. Visco also commented that the risk of the Italian bond spread increasing will be contained as long as budgetary policies remain cautious and said that supervisors are monitoring credit, liquidity and refinancing risks as higher interest rates could impact banks’ funding costs quicker than in the past, according to Reuters.

Central Banks

  • BoE's Mann says looking for a significant and sustained deceleration in higher frequency price increases, "We need to stay the course, and in my view the next step in Bank Rate is still more likely to be another hike than a cut or hold." adding "In my view, a tighten-stop-tighten-loosen policy boogie looks too much like fine-tuning to be good monetary policy."
  • BoE and UK Treasury draft document said that they believe a central bank digital currency will likely be needed by later in the decade, according to The Telegraph.
  • ECB's Kazaks says if the data is in-line with expectations then rates will be hiked by 50bp in March, decision could be changed if the incoming data differs significantly.
  • ECB's Holzmann says the risk of over-tightening policy appears to be dwarfed by the risk of doing too little.


  • DXY continues to climb and has lifted to a 103.38 peak from a 103.00 base given the broad-based hawkish price action and despite fleeting/limited bids in GBP and EUR.
  • Specifically, the EUR saw some shortlived support amid familiar commentary from hawkish ECB officials and upside in the region's construction PMIs; though, EUR remains lower and at the 1.0761 trough vs USD.
  • Similarly, GBP received a slight bid following BoE's Mann; though, as above, this has been eroded by the USD's underlying strength and as such Cable is at the lower end of 1.2023-1.2070 parameters.
  • JPY is the standout laggard amid, since refuted, reports that current BoJ Deputy Amamiya could be the gov'ts nominee for Governor, with USD/JPY up to 132.56 given Amamiya's dovish stance.
  • Elsewhere, the non-US dollars are succumbing to the USD's bid with the RBA due this week and attention on the regions geopolitics.
  • PBoC set USD/CNY mid-point at 6.7737 vs exp. 6.7755 (prev. 6.7382)

Fixed Income

  • A continuation of Friday’s post-NFP hawkish repricing has pushed Bunds to retest and eventually lose Thursday’s 137.00 trough after opening just below the post-NFP 137.70 low this morning.
  • In the wake of BoE's Mann, Gilts slipped to a 106.29 low at the time; a trough that has since been significantly eclipsed with the contract down to 105.65 as the session’s broader hawkish tone intensifies.
  • Stateside, the picture is very much the same as above. With the post-NFP hawkish repricing in full swing as participants await guidance from numerous Fed officials this week, with Chair Powell on Tuesday the on-paper highlight.
  • US yields continue to lift with action much more pronounced at the short-end of the curve; nonetheless, the 10yr yield has printed a 3.616% peak ahead of the YTD 3.84% best.


  • Crude benchmarks are firmer on the session and have largely been consolidating after the substantial post-NFP losses, with geopolitics and the halt of some oil deliveries in Turkey post-earthquake occurring perhaps factoring.
  • Currently, the benchmarks reside towards the top-end of USD 73.13-74.03/bbl and USD 79.61-80.81/bbl parameters for WTI Mar and Brent Apr.
  • IEA chief Birol said the price cap on Russian oil achieved the objectives of stabilising the oil markets and cutting Russia’s oil revenues with its oil and gas export revenues in January down by almost 30% or around USD 8bln in January from a year ago. Birol also commented that the largest uncertainty this year is China and expects half of global oil demand growth will be from China this year, while he also stated that China’s jet fuel demand is exploding this year which puts upward pressure on global demand and noted that the products markets will stabilise in H2 as more refineries come online, according to Reuters.
  • Saudi’s Energy Minister said he hopes that sanctions, embargoes and a lack of investment don’t lead to a shortage of energy supplies, according to Reuters.
  • UAE’s ADNOC set March Murban crude OSP at USD 82.63/bbl vs USD 80.11 in February. It was separately reported that the UAE, France and India established a tripartite initiative as they seek to cooperate in areas including energy and climate change, according to state news agency WAM.
  • Saudi Arabia sets its March Arab Light Crude OSP to Asia at +2.00/bbl (+0.20/bbl vs exp. USD -0.30/bbl) vs Oman/Dubai averages, according to Reuters sources; the first increase in six months.
  • Spot gold is attempting to nurse losses but has been drifting from USD 1881/oz best levels as the renewed upside in yields supports the USD; while base metals are succumbing to the broader risk tone.


  • Ukrainian President Zelensky said there are fierce battles in the Donetsk region and the situation is very difficult with Russia intensifying pressure on various fronts and in terms of information heading into the first anniversary of the war, according to Reuters.
  • Ukraine’s Defence Minister Reznikov was transferred to another ministerial job and the head of the Main Directorate of Intelligence of the Ministry of Defence Budanov was named as the new Defence Minister. Furthermore, there were prior comments by Reznikov that they expect a possible major Russian offensive this month and that Ukraine has the reserves to hold back the Russian offensive despite not receiving all of the latest military supplies from the west by then, according to Reuters.
  • UK PM Sunak spoke with Ukrainian President Zelensky over the weekend and agreed it was vital for the international community to speed up assistance for Ukraine, according to Reuters.
  • Russian Defence Ministry said Kyiv is preparing to blow up buildings in the eastern Ukrainian city of Kramatorsk and accuse Russia of war crimes in a false flag operation, according to Reuters. Russia’s Defence Ministry also announced that 63 Russian POWs were returned from Ukrainian captivity after complex negotiations with Ukraine that were mediated by the UAE.
  • Russia and Iran advance plans for an Iranian-designed drone facility in Russia, according to WSJ.
  • Russian Kremlin says a meeting between President Putin and IAEA Chief Grossi is not planned but Rossi will meet with the foreign ministry and Rosatom officials.
  • Iran’s Supreme Leader Khamenei pardoned a large number of security-related prisoners that were arrested due to recent protests, according to state TV.
  • US cybersecurity agency CISA is assessing the impact of reported incidents after Italy raised the alarm regarding a global hacking attack, according to Reuters.

US Event Calendar

  • Nothing major scheduled

DB's Jim Reid concludes the overnight wrap

The week after payrolls is usually quiet for data. All I can say is thank goodness for that as it'll take until next month's release to decipher Friday's report. We'll have a first stab at it below but before we do, we'll quickly outline the highlights of the week ahead.

Given the blockbuster payrolls print, Fed Chair Powell's speech at the Economic Club of Washington tomorrow could be the highlight. The release valve post the blackout period will mean we have a mini deluge of other Fed speakers too including Vice Chair of Supervision Barr (tomorrow), New York Fed President Williams, Fed Governor Cook, Minneapolis President Kashkari and Fed Governor Waller (all Wednesday). Their comments on the payroll report will be devoured and it'll be interesting if they, and especially Powell, decide to slightly firm up the hawkish spin and be more explicit on a terminal rate above 5%. We continue to think we'll get that, but the market has been increasingly pricing a pause after March and cuts by year-end. To be fair, Friday saw terminal edge back above 5% (climbing +12.5bps to 5.025% on the day) with December 2023 contracts up +23bps to 4.58%. This week's Fedspeak on financial conditions will also be interesting as the relaxed attitude of Powell to them at the FOMC presser encouraged a big dovish market reaction. Much of this was reversed on Friday but the sensitivities to such comments remain high. There's plenty of other central bank speak this week. See it in the day-by-day calendar at the end.

In terms of data, it's certainly a second-tier week ahead. The delayed German CPI report on Thursday might be one of the highlights. It was delayed due to technical issues around base year changes. Given the payrolls revisions, that does make one a little nervous (in either direction), but we will see. In the US, the UoM consumer sentiment survey (Friday) and the usual inflation expectations will be a focus as usual. Elsewhere, UK GDP numbers on Friday will be a highlight after the IMF last week suggested they would be one of the 2023 developed world growth laggards.

Over in Asia, key macro indicators include China's CPI and PPI reports on Friday, with median Bloomberg estimates pointing to readings of 2.2% YoY (vs 1.8% in December) and -0.5% YoY (vs -0.7% in December), respectively.

Earnings season continues in the background. Just under half of S&P 500 firms have now reported with results from Disney, Uber (Wednesday) and PayPal (Thursday) among the key ones for the large cap index this week. Private capital managers will also be in the spotlight with KKR (Tuesday), Brookfield (Wednesday) and Apollo (Thursday) releasing results throughout the week. European Big Oil heavyweights also report including BP (tomorrow) and Total (Wednesday). Consumer-driven names including Chipotle, Royal Caribbean (tomorrow), PepsiCo and L'Oreal (Thursday) report with other notable earnings releases including Activision Blizzard (today), AstraZeneca and Siemens (Thursday).

Now that's out of the way, let's go back to an astonishing payrolls report where the annual revisions caused chaos amongst the economist community. Indeed, our economists noted (here) that the benchmark revisions have increased 2022 nonfarm payrolls by 586k. In addition, hours worked were revised up by a tenth to 34.6 and average hourly earnings (AHEs) revised up by 20bps (12-month average). The upshot is that the year-over-year growth rate of the payroll proxy for nominal income growth as of December 2022 was revised up by 80bps (to 7.3%) relative to what was previously reported prior to the benchmark revision.

If an extra 586k jobs in 2022 wasn't enough, January saw both headline (517k vs. 260k last month) and private (443k vs. 269k) payrolls exceed consensus estimates. Unemployment fell a tenth to 3.4% to fresh 53-year lows, and the labour force participation rate edged up a tenth to 62.4%. Elsewhere, AHEs (+0.3% vs. +0.4%) was largely in line with expectations but weekly hours worked surprisingly rose 0.3 hours to 34.7hrs. Our economists also highlighted that the combination of strong job gains, a surge in hours worked and a still-sturdy increase in AHEs meant that the year-over-year growth rate of the payroll proxy for nominal income (particularly the compensation component) increased by 120bps to 8.5% -- nearly 200bps above what they had previously imagined. In trying to explain the bumper January, some have looked at the seasonal adjustment. Normally January is a big month for seasonal layoffs and these get accounted for in the seasonal adjustments. However, in January 2023 lay-offs were 300-400k less than usual. This is no smoking gun but shows the huge seasonals that take place in January. But make no mistake, the other parts of the report - past and present - were strong so it's more to try to assess whether it was as strong as appears.

Asian equity markets are trading lower after the print. As I type, the Hang Seng (-2.31%) is leading losses across the region with the CSI (-1.67%), the Shanghai Composite (-1.01%) and the KOSPI (-1.02%) also falling sharply on renewed risk aversion. Adding to the downbeat mood are geopolitical concerns after the Chinese spy balloon was shot down by the US (more on this below). Elsewhere, the Nikkei (+0.76%) is bucking the trend in early trade as the Japanese yen initially weakened over -1% against the dollar, after a report indicated that the BOJ’s Deputy Governor Masayoshi Amamiya has been approached to potentially take over the role as the next Governor once Haruhiko Kuroda’s term ends on April 8. He is seen as dovish and thus prompting the reaction. The story has been denied and the Yen has halved its losses but the market will likely think that there is no smoke without fire. Outside of Asia, US stock futures are printing fresh losses with contracts tied to the S&P 500 (-0.31%) and NASDAQ 100 (-0.37%) edging lower. Meanwhile, yields on 10yr USTs (+2.04 bps) are trading at 3.55% as we go to press.

Looking ahead, the diplomatic tensions over the Chinese balloon entering US air space will be worth watching this week. The US shot it down over a weekend that was supposed to mark a thawing of diplomatic relations between the countries, with Secretary of State Antony Blinken visiting China, the first such visit in four years. This was postponed last week and an originally conciliatory China turned more aggressive after the balloon was eventually shot down. We will see if there is any retaliation and/or how strong the rhetoric is.

Looking back at last week now. Risk assets performed strongly over the week, but fell back on Friday after the US jobs data surprised significantly to the upside and moderated market expectations of the Fed cutting rates at the back end of 2023. The ISM services index for January also surprised to the upside, rising 6 points to 55.2 (vs 50.5 expected). This is the largest monthly advance since June 2020 and adds to the view that economic growth in the US remains resilient for the time being. The new orders subcomponent also jumped to 60.4, its highest level since the start of last year.

These strong prints followed Chair Powell’s emphasis on Wednesday that a softer labour market, and particularly easing wage gains, were key to reducing inflation. Against this backdrop, markets moved to price in a higher terminal rate, with fed fund futures for June pricing a 5% terminal again after rising +12.6bps on the day to 5.025%. The implied rate for the final Fed meeting of 2023 also rose, increasing +23bps to 4.58%.

US stocks swung between gains and losses following the strong data on Friday but they maintained their strong start to 2023 over the week. The S&P 500 was down -1.04% on Friday but +1.62% on the week. The NASDAQ also finished the week up +3.31% (but -1.59% on Friday), and the FANG+ index outperformed in being up +7.03% on the week (-2.57% on Friday), its largest weekly move-up since mid-March and to its highest level since mid-April. Over in Europe, the STOXX 600 closed up +0.34% on Friday, its highest level since mid-April. In weekly terms, the index was up +1.23%.

In fixed income markets, US Treasuries fell back on Friday as markets priced in higher Fed rates. Policy sensitive 2yr Treasury yields spiked +18.4bps on Friday, closing up +8.9bps over the week. 10yr Treasuries also retreated, with yields up +13.2bps on Friday and up +2.1bps for the week. In Germany, the story was similar, with 2yr Bund yields climbing higher by +7.1bps to 2.53%, although they were down by -3.3bps in weekly terms. 10yr Bunds also retreated, with yields up +11.3bps on Friday to 2.19% but down -4.7bps on the week. Fixed income markets in the rest of the continent were also in red on Friday with OATs up +12.7bps (-6.0bps on the week) BTPs up +12.2bps (-7.2bps on the week after the biggest fall in a decade on Thursday after the ECB).

Staying with fixed income, credit markets saw significant tightening last week to reach their richest valuations since last Spring. USD IG cash spreads tightened -4bps to 115bps over the week (unchanged Friday) to their lowest levels since early April. Meanwhile, USD HY spreads tightened -28bps on the week (-1bp Friday) to 385bps, which is the tightest spreads have been since the first week of May. In Europe, EUR IG was -10bps tighter (-2bps on Friday) and EUR HY cash spreads were -24bps tighter (-12bps Friday) to also finish at their tightest levels since April.

Turning to commodity markets, WTI Crude had a poor week, down -6.29% (-3.28% on Friday) to $73.39/bbl, its lowest level since the first week of 2023. Brent Crude also fell back last week, down -7.75% (-2.71% on Friday). This weak performance also translated to other commodities, with copper down -3.93% last week (-0.84% on Friday) and gold -2.50% to $1,865 on Friday, down -3.27% on the week.

Tyler Durden Mon, 02/06/2023 - 08:07

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Spread & Containment

The Great Silence

The Great Silence

Authored by Jeffrey Tucker via,

The kids are two years behind in education. Inflation still rages. White-collar…



The Great Silence

Authored by Jeffrey Tucker via,

The kids are two years behind in education. Inflation still rages. White-collar jobs are disappearing thanks to the reversal of Fed policy. Household finances are a wreck. The medical industry is in upheaval. Trust in government has never been lower.

Major media too is discredited. Young people are dying at levels never seen. Populations are still on the move from lockdown states to where it is less likely. Surveillance is everywhere, and so is political persecution. Public health is in a disastrous state, with substance abuse and obesity all at new records.

Each one of these, and many more besides, are continued fallout from the pandemic response that began in March 2020. And yet here we are 38 months later and we still don’t have honesty or truth about the experience.

Officials have resigned, politicians have tumbled out of office and lifetime civil servants have departed their posts, but they don’t cite the great disaster as the excuse. There is always some other reason.

This is the period of the great silence. We’ve all noticed it. The stories in the press recounting all the above are conventionally scrupulous about naming the pandemic response much less naming the individuals responsible.

Maybe there is a Freudian explanation: things so obviously terrible and in such recent memory are too painful to mentally process, so we just pretend it didn’t happen. Plenty in power like this solution.

Everyone in a position of influence knows the rules. Don’t talk about the lockdowns. Don’t talk about the mask mandates. Don’t talk about the vaccine mandates that proved useless and damaging and led to millions of professional upheavals.

Don’t talk about the economics of it. Don’t talk about collateral damage. When the topic comes up, just say, “We did the best we could with the knowledge we had,” even if that is an obvious lie.

Above all, don’t seek justice.

Where’s the National Commission?

There is this document intended to be the “Warren Commission” of COVID slapped together by the old gangsters who advocated for lockdowns. It is called Lessons from the Covid War: An Investigative Report.

The authors are people like Michael Callahan (Massachusetts General Hospital), Gary Edson (former deputy national security adviser), Richard Hatchett (Coalition for Epidemic Preparedness Innovations), Marc Lipsitch (Harvard University), Carter Mecher (Veterans Affairs), and Rajeev Venkayya (former Gates Foundation and now Aerium Therapeutics).

If you have been following this disaster, you might know at least some of the names. Years before 2020, they were pushing lockdowns as the solution for infectious disease. Some claim credit for having invented pandemic planning. The years 2020–2022 were their experiment.

As it was ongoing, they became media stars, pushing compliance, condemning as disinformation and misinformation anyone who disagreed with them. They were at the heart of the coup d’etat, as engineers or champions of it, that replaced representative democracy with quasi-martial law run by the administrative state.

The first sentence of the report is a complaint:

We were supposed to lay the groundwork for a National COVID Commission. The COVID Crisis Group formed at the beginning of 2021, one year into the pandemic. We thought the U.S. government would soon create or facilitate a commission to study the biggest global crisis so far in the 21st century. It has not.

That is true. There is no National COVID Commission. You know why? Because they could never get away with it, not with legions of experts and passionate citizens who wouldn’t tolerate a coverup.

The public anger is too intense. Lawmakers would be flooded with emails, phone calls and daily expressions of disgust. It would be a disaster. An honest commission would demand answers that the ruling class is not prepared to give. An “official commission” perpetuating a bunch of baloney would be dead on arrival.

This by itself is a huge victory and a tribute to indefatigable critics.

‘We Didn’t Crack Down Hard Enough’

Instead, the “COVID Crisis Group” met with funding from the Rockefeller and Charles Koch foundations and slapped together this report. Despite being celebrated as definitive by The New York Times and The Washington Post, it has mostly had no impact at all.

It is far from obtaining the status of being some kind of canonical assessment. It reads like they were on deadline, fed up, typed lots of words and called it a day.

Of course it is whitewash.

It begins with a bang to denounce the U.S. policy response: “Our institutions did not meet the moment. They did not have adequate practical strategies or capabilities to prevent, to warn, to defend their communities or fight back in a coordinated way, in the United States and globally.”

Mistakes were made, as they say.

Of course the upshot of this kvetching is not to criticize what Justice Neil Gorsuch calls “the greatest intrusions on civil liberties in the peacetime history of this country.” They hardly mention those at all.

Instead they conclude that the U.S. should have surveilled more, locked down sooner (“We believe that on Jan. 28 the U.S. government should have started mobilizing for a possible COVID war”), directed more funds to this agency rather than that and centralized the response so that rogue states like South Dakota and Florida could not evade centralized authoritarian diktats next time.

The authors propose a series of lessons that are anodyne, bloodless and carefully crafted to be more-or-less true but ultimately structured to minimize the sheer radicalism and destructiveness of what they favored and did. The lessons are clichés such as we need “not just goals but road maps,” and next time we need more “situation awareness.”

There is no new information in the book that I could find, unless something is hidden therein that escaped my notice. It’s more interesting for what it does not say. Some words that never appear in the text: Sweden, ivermectin, ventilators, remdesivir and myocarditis.

‘Look, Lockdowns and Mandates Worked!’

Perhaps this gives you a sense of the book and its mission. And on matters of the lockdowns, readers are forced to endure claims such as “all of New England — Massachusetts, the city of Boston, Connecticut, Rhode Island, New Hampshire, Vermont, and Maine — seem to us to have done relatively well, including their ad hoc crisis management setups.”

Oh really! Boston destroyed thousands of small businesses and imposed vaccine passports, closed churches, persecuted people for holding house parties, and imposed travel restrictions. There is a reason why the authors don’t elaborate on such preposterous claims. They are simply unsustainable.

One amusing feature seems to me to be a foreshadowing of what is coming. They throw Anthony Fauci under the bus with sniffy dismissals: “Fauci was vulnerable to some attacks because he tried to cover the waterfront in briefing the press and public, stretching beyond his core expertise—and sometimes it showed.”

Ooooh, burn!

“Trump Was a Comorbidity”

This is very likely the future. At some point, Fauci will be scapegoated for the whole disaster. He will be assigned to take the fall for what is really the failure of the national security arm of the administrative bureaucracy, which in fact took charge of all rule-making from March 13, 2020, onward, along with their intellectual cheerleaders. The public health people were just there to provide cover.

Curious about the political bias of the book? It is summed up in this passing statement: “Trump was a comorbidity.”

Oh how highbrow! How clever! No political bias here!

Maybe this book by the Covid Crisis Group hopes to be the last word. This will never happen. We are only at the beginning of this. As the economic, social, cultural, and political problems mount, it will become impossible to ignore the incredibly obvious.

The masters of lockdowns are influential and well-connected but not even they can invent their own reality.

Tyler Durden Mon, 05/29/2023 - 16:00

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Pandemic babies’ developmental milestones: Not as bad as we feared, but not as good as before

Research findings are mostly reassuring for parents — despite the disruptions to nearly every aspect of life during the COVID-19 pandemic, most children…

Scientists and physicians raised concerns early in the pandemic that increased parental stress, COVID infections, reduced interactions with other babies and adults, and changes to health care may affect child development. (Shutterstock)

The COVID-19 pandemic created conditions that threatened children’s healthy development.

Scientists and physicians raised concerns early in the pandemic, pointing out that increased parental stress, COVID infections, reduced interactions with other babies and adults and changes to health care could affect child development. Furthermore, some children could be especially vulnerable to the pandemic circumstances.

With these concerns in mind, we started a longitudinal study of pregnant Canadians to understand how pandemic stressors might influence later child development.

Our initial findings were alarming: the rates of anxiety and depression among pregnant individuals were two to four times higher during the early phase of the pandemic compared to numerous pregnancy studies prior to the pandemic. This worrisome increase in mental health problems was seen worldwide.

Impact on children’s development

To determine how the pandemic might be affecting children’s development, we measured developmental milestones in 3,742 12-month-old infants born during the first 18 months of the pandemic. We then compared these infants to a similar group of 2,898 Canadian infants born between 2015 and 2018.

A pregnant woman and a doctor both wearing face masks in the doctor's office
Rates of anxiety and depression among pregnant individuals were two to four times higher during the early phase of the pandemic compared to numerous pregnancy studies prior to the pandemic. (Shutterstock)

The study evaluated developmental milestones using the Ages and Stages Questionnaire-3. The ASQ-3 is a parent report of child behaviour that can help identify children at risk of developmental delays in five separate domains: Communication, Gross Motor, Fine Motor, Personal-Social and Problem Solving.

In a study to be published in the Journal of Developmental and Behavioral Pediatrics, we found that most children born during the pandemic were doing fine, with almost 90 per cent meeting their key developmental milestones in each area. This should be reassuring for parents, caregivers and communities, because it suggests that most children are developing normally despite adverse early circumstances.

However, a slightly higher proportion of children born during the pandemic were at risk of developmental delay in Communication, Gross Motor and Personal-Social domains, compared to children born before the pandemic. Our findings are consistent with prior smaller studies showing only small increases in the risk for poor verbal, motor and cognitive performance among 12-month-old infants born during the pandemic.

A woman smiling and playing with her baby in her lap
Engaging an infant in conversation or song (even a pre-verbal infant) is a powerful way to encourage language learning. (Shutterstock)

The largest effects we observed were in the Communication and Personal-Social domains. Infants born during the pandemic were almost twice as likely to score below cutoffs compared to pre-pandemic infants.

This represents an increase of about one to two additional children in 100 who are at risk, but highlights some potentially concerning effects of the pandemic on early child development. Across Canada, this could result in service demands for 20,000-40,000 additional preschool children.

Although small in absolute terms, these increases have important implications, since already limited resources will need to increase to meet the needs of more children. Certainly, it will be important to continue monitoring infants/children born during the pandemic to determine how long-lasting these effects are.

Reassuringly, early interventions can be highly effective for children who are struggling.

Concerns about child development

A smiling baby crawling towards the camera in the foreground, and a young man smiling in the background
Provide your child with many opportunities for one-on-one interaction with a caring and responsive adult. (Shutterstock)

Parents should be mostly reassured by these findings. Despite the disruptions to nearly every aspect of life during the pandemic, the majority of children continue to show healthy development. Parents with concerns about their child’s development may find these suggestions helpful:

  1. Provide your child with many opportunities for one-on-one interaction with a caring and responsive adult. The Harvard Center on the Developing Child describes the back-and-forth interactions that form the key processes of child development as “serve and return.”

  2. Believe in “ordinary magic.” This is the phrase that child development expert Ann Masten uses to describe how resilience emerges from ordinary, everyday processes and interactions. Children develop resilience when they have access to the right environments, the right relationships and the right chances to be able to safely explore themselves and the world around them.

  3. Talk and sing with your child. Engaging an infant in conversation or song (even a pre-verbal infant) is a powerful way to encourage language learning.

  4. There is a wide range of development that is considered “normal.” It is okay for your child to be at a different stage than other children their age, as long as your child is still showing signs of development.

  5. If you are concerned about your child’s development after some time of monitoring, discuss your concerns with a qualified health professional to determine if further investigation is needed.

Overall, the findings of our study (and others) suggest that the effects of the pandemic on infant development (at least to one year of age) have not been as bad as we feared. However, a greater number of children will likely require further evaluation and support compared to pre-pandemic.

Gerald Giesbrecht receives funding from the Canadian Institutes of Health Research (CIHR) and the Alberta Children's Hospital Foundation.

Catherine Lebel receives funding from the Canadian Institutes of Health Research (CIHR), the Natural Sciences and Engineering Research Council (NSERC), Brain Canada, the Azrieli Foundation, Alberta Children's Hospital Foundation, and the Canada Research Chairs program.

Lianne Tomfohr-Madsen receives funding from the Canadian Institutes of Health Research (CIHR), the Social Sciences and Humanities Research Council (SSHRC), Brain Canada, Calgary Health Trust, the Alberta Children's Hospital Foundation and the Weston Foundation.

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Nasdaq statistics in 2023

The Nasdaq is the world’s largest electronic stock exchange and second-largest stock exchange globally in terms of market capitalization behind the New…



The Nasdaq is the world’s largest electronic stock exchange and second-largest stock exchange globally in terms of market capitalization behind the New York Stock Exchange (NYSE).  It was founded in 1971 and is headquartered in New York City. The Nasdaq stock exchange lists over 3,500 companies, including many of the world’s leading technology companies.

The Nasdaq Composite Index, which is the largest index on the Nasdaq, measures all domestic and international common type stocks. The market-capitalization-weighted index is the second-largest stock market index in the world, after the S&P 500. 

In terms of performance, Nasdaq stocks have often outperformed the broader stock market, with the Nasdaq 100 doing better than the S&P 500 and the Dow Jones Industrial Average in recent years. 

Here is a summary of key Nasdaq stocks statistics for 2023.

Key takeaways

  • More than 3,500 companies are listed on Nasdaq.
  • Nasdaq’s listed companies have a total market capitalization of $25.3 trillion.
  • Over 4.3 billion shares are traded daily on the Nasdaq exchange.
  • Technology stocks make up more than half of companies in the Nasdaq Composite. 
  • The Nasdaq 100 index comprises the largest 100 companies traded on the Nasdaq, with nearly 60% being in the tech sector.

Nasdaq stocks: market summary

1.There are over 3,500 companies listed on Nasdaq

More than 3,500 companies are listed on the NASDAQ stock market. According to this FactSheet by Nasdaq, these companies represent a wide variety of industries, including technology, healthcare, and financial services.

2. The market capitalization of the nasdaq stock market is $25.3 trillion

The total market capitalization of all Nasdaq stocks is $25.3 trillion (as of May 29, 2023). This is the second-largest market capitalization in the stock exchange industry, only behind the NYSE. Compared in terms of growth, the Nasdaq shows a faster pace since January 2018, when it had a market cap of about $11 trillion. The NYSE had a market cap of $23 trillion at the time.

3. Over $200 billion worth of stocks trade on Nasdaq daily

In 2023, an average of over $200 billion worth of stocks were traded on Nasdaq daily, with $290 billion traded on 25 May 2023. 

4. An average of 4.3 billion shares are traded daily on Nasdaq

According to daily market data for Nasdaq, an average of 4.3 billion shares in volume are traded daily on the Nasdaq exchange.

5. There are over 1000 international stocks listed on the Nasdaq

There are a total of 1,000 foreign companies listed on the Nasdaq stock market. These companies represent a wide variety of countries, including China, India, and Japan.

Nasdaq markets and indices stats

6. Nasdaq operates 29 markets, a clearinghouse, and 5 central securities depositories

The Nasdaq’s operations encompass 29 markets for stocks, bonds, derivatives and commodities.  It also operates a clearinghouse and five central securities depositories.

7. Nasdaq’s trading technology is used by over 100 exchanges globally

Nasdaq’s growth as a leading electronic stock exchange has seen its proprietary trading technology deployed by 100 exchanges across 50 countries.

8. Nasdaq trades under the ticker NDAQ and part of the S&P 500 since 2008

The Nasdaq Inc stock trades under the symbol NDAQ on the Nasdaq exchange. The company has also been a component of the S&P 500 Index since 2008.

9. The Nasdaq has two major indexes

Nasdaq has two major indexes that track the performance of Nasdaq stocks daily. There’s the Nasdaq Composite and the Nasdaq 100. The tech-heavy Nasdaq Composite tracks most securities on the Nasdaq exchange (except for mutual funds, preferred stocks, and derivatives).  

10. More than half of Nasdaq Composite stocks are tech companies

Tech stocks account for 52% of the total market weight of Nasdaq Composite, with 457 tech companies currently making up the index. Consumer Discretionary is next with about 18% and 450 stocks while healthcare is the third largest with 9% and 1,078 companies.

11. About 6 out of 10 companies in Nasdaq 100 are tech stocks

Nearly 60%, or approximately six out of every 10 of the companies that make up the Nasdaq 100 are in the technology sector.  

12. Apple is the top stock by market capitalization in the Nasdaq Composite

The top 3 components on the Nasdaq Composite are Apple, Microsoft and Amazon with 13.2%, 10.87% and 5.36% respectively. Nvidia, Tesla, Alphabet and Meta Platforms are in the top 10. Apple has a market capitalization of $2.76 trillion. 

Nasdaq IPOs and ETFs

13. A total of 156 IPOs went live on Nasdaq in 2022

There were a total of 156 IPOs on the NASDAQ stock market in 2022. According to market details the exchange’s website, there were also 29 exchange transfers.

14. IPOs on Nasdaq raised $2.1 billion in Q1, 2023

IPOs statistics show the Nasdaq attracted $2.1 billion in new listings in the first quarter of 2023, making the stock exchange the fourth largest in Q1.

15. The Nasdaq also lists more than 2,300 ETFs

There are a total of 2,300 etf listings on the Nasdaq stock market. These etfs track a wide variety of asset classes, including stocks, bonds, and commodities.

Nasdaq stocks: performance, key milestones and facts

16. The Nasdaq Composite stocks are 24% up year-to-date

As of May 2023, the Nasdaq Composite has returned over 24%, with gains in the past month nearly at 7%.

17. The Nasdaq Composite’s YTD return is higher than that of the S&P 500 and Dow Jones Industrial Average

This Nasdaq statistic will surprise investors, but the 24% year-to-date returns for the Nasdaq Composite index are higher than the 9.97% for the S&P 500 and -0.13% for the Dow Jones Industrial Average.

18. Nasdaq-100 ‘s YTD and 1-Year returns are 13% and 32% respectively

Over the past year, the Nasdaq-100 Index has returned roughly 13% after most stocks dipped in 2022 amid economic and geopolitical headwinds headlined by rising inflation and the Russia-Ukraine war. However, the index is 32% up so far (as of May 29, 2023).

19. NVIDIA, Meta and Tesla are the best performing Nasdaq stocks in 2023 so far

Nvidia (NASDAQ:NVDA) is the best performing mega cap on Nasdaq with 172% YTD return so far. It was followed by Meta (NASDAQ:META) and Tesla (NASDAQ:TSLA), up 110% and 78%, respectively. Nvidia’s stock exploded in May as the company highlighted major revenue gains in coming quarters due to demand for AI-powered chips.

20. Nasdaq-100 Index stocks have added just 101% in five years

Over a 5-year time frame, the Nasdaq-100 Index has yielded a positive return of 101%. The period with the sharpest climb for the index in the last five years was between March 2020 and November 2021.

21. Nasdaq-100 Index’s 10-year return is about 358%

The NASDAQ-100 Index has returned +358.37% over a 10-year period and an impressive +3,088% since May 1995.

22. Nasdaq Composite stocks have returned about 71% in the past five years

Nasdaq statistics over the past five years show that the Nasdaq Composite Index has gained 71% in that period and 285% over the past 10 years. Since 1983 (40 years), the index has gained by over 4,000%. This suggests that investing over extended time frames can come with considerable returns on investments.

23. Nasdaq’s largest point increase: 760.97 points

On October 11, 2022, the Nasdaq Composite witnessed an unprecedented positivity to record a historic surge. The index closed a staggering 760.97 points higher, marking its largest ever single-day points increase.

24. The Nasdaq Composite declined 13.3% in April 2022, its worst monthly performance since October 2008

After notching its all-time high in November 2021, the Nasdaq Composite declined sharply by 23%. This included a 13.3% dip in April 2022 that was the index’s worst monthly return since October 2008. At the time, it had fallen 17.4% as the global financial crisis raged.

25. The largest single-day points decrease for Nasdaq Composite was 970.28 points

The Nasdaq Composite experienced its most substantial single-day points drop on March 16, 2020. Amid the global panic due to the covid-19 pandemic, the index plummeted by 970.28 points.

26. Nasdaq’s highest daily trading volume was over 12 billion trades

January 27, 2021, stands as a historic day for Nasdaq in terms of trading volume. On this day, the total trading volume reached a record-breaking 12,030,107,207 trades.


The Nasdaq stock market is currently one of the most important stock exchanges in the world. It is home to a wide variety of companies, lists thousands of companies and its indexes have outperformed the S&P 500 and Dow Jones Industrial Average in recent years. 

The strong performance of the Nasdaq stock market is due to a number of factors, including the growth of the technology and healthcare sectors. This sees the Nasdaq Composite Index up over 24% year-to-date.

In terms of investment, the Nasdaq is a popular choice for investors who are looking for exposure to growth stocks and international exposure as it lists over 1000 companies from more than 100 countries.

The post Nasdaq statistics in 2023 appeared first on Invezz.

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