Japan sees core inflation at 40-year high as Asia-Pacific shares trade mixed

CEO says Alibaba saw delivery disruptions on Singles Day

“The resurgence of Covid has had one-on-one impacts and has resulted in abnormal or suspended logistics service in various locations,” Alibaba CEO Daniel Zhang said in a FactSet transcript of the company’s quarterly earnings Thursday.

Zhang noted that the logistics disruptions had been resolved by Nov. 11, adding that the company was “seeing improvements.”

Alibaba also announced that it will increase its share buyback program by $15 billion.

Read the full story here.

– Evelyn Cheng

Morgan Stanley confirms job cuts in Asia-Pacific region

Gokul Laroia, managing director of Asia-Pacific at Morgan Stanley, confirmed that the layoffs are taking place in the Asia-Pacific region.

Asked if he could confirm reports of the firm’s plans to cut 10% of its 500 employees in the region, Laroia told CNBC’s Emily Tan on Thursday that plans are already underway.

“I don’t know if it’s actually 10%, but there will be a reduction in force,” he said. “Actually, it’s ongoing.”

Laroia added that China, despite slowing more than expected this year, remains an important market for Morgan Stanley and the firm expects to continue investing there.

– Jihye Lee

After North Korea’s missile launch, defense reserves of South Korea and Japan have increased

Shares in defense-related companies in South Korea and Japan rose in the morning session on Friday after confirmation that North Korea had launched an intercontinental ballistic missile.

In South Korea, Hanwha Aerospace shares increased by 4.69%, Korea Aerospace by 2.34%, and Victek by 2.3%.

Japan’s Mitsubishi Heavy Industries rose 0.93%, while Hosoya Pyro-Engineering rose 1.7% in the Asian afternoon session.

– Jihye Lee

CNBC Pro: As Muddy Waters bets against dLocal, here are other fintech stocks short sellers are eyeing

The Philippine central bank expects the economy to see “low growth” next year, not a recession

The Philippines will experience

Bangko Sentral ng Pilipinas (BSP) central bank chief Felipe Medalla said he expects the economy to see “low growth” of less than 5% next year, not a recession.

In an interview with CNBC’s Sri Jegarajah, he said the central bank estimates the economy will grow 6% next year, higher than the International Monetary Fund’s forecast of 5%.

He added that this outlook could change by about 100 basis points depending on the deterioration of global financial conditions.

The BSP on Thursday raised benchmark interest rates to 5%, delivering its second 75 basis point hike of the year.

– Natalie Tham, Jihye Lee

Tencent, NetEase shares rise after confirming Chinese gaming titles

Stocks of Chinese tech companies Tencent and NetEase It rose after Hong Kong-listed companies were granted a gaming license by China’s National Press and Publication Administration.

Shares of Tencent rose 3% at the open, while NetEase rose more than 5%.

The regulator licensed around 70 games for November, including Tencent’s Metal Slug: Awakening and NetEase’s A Chinese Odyssey: Homecoming.

NetEase shares fell more than 11% on Thursday after the company announced that its license with Activision Blizzard will expire in January 2023.

– Jihye Lee

Japan’s core inflation index rose to a higher-than-expected 3.6%

The core consumer price index for Japan rose 3.6% year-on-year in October, beating expectations for a 3.5% increase and the fastest pace since February 1982.

The index, which excludes fresh food but includes fuel costs, rose 3.0% in September compared to the same period a year ago.

The latest data shows the country’s inflation rate is above the Bank of Japan’s target of 2% for the seventh month in a row.

– Jihye Lee

CNBC Pro: JPMorgan says these Asian travel stocks are poised for an exit

As travel in Asia recovers and continues to gain momentum, particularly after China’s recent announcement to reduce quarantine time for international travelers, JPMorgan said the region’s travel industry is bullish.

“We are bullish on the Asian airline and airport sectors given high advance booking visibility and further upside from the final phase of reopening in some parts of the region,” it said in a Nov. 11 note.

CNBC Pro subscribers can click here to find out which stocks investors should watch out for.

– Charmaine Jacob

The S&P 500, Nasdaq Composite close lower on Thursday

The Dow Jones Industrial Average closed near flat on Thursday, despite falling as much as 314 points in the session. The S&P 500 index fell 0.31%. The Nasdaq Composite fell 0.35%.

– Sara Min

CNBC Pro: ‘The bull case for halves is attractive’: BofA picks the best chip stocks to buy

Chip stocks, once favorites among investors, have underperformed this year.

But BofA says that while consumer demand remains under pressure, “the bull case for semis is also compelling.”

According to BofA’s forecast, semiconductor sales may pick up again in the second half of 2023.

Here are some themes that chip stocks could use, says the bank, which picks names to buy.

CNBC Pro subscribers can read more here.

– Weizhen Tan

The Fed’s Jefferson said low inflation was the best way to achieve prosperity

Federal Reserve Governor Philip Jefferson said Thursday that keeping inflation under control is the best way to ensure a strong economy for everyone.

“Low inflation is key to achieving a long and sustainable expansion – an economy that works for everyone,” a central bank official said at an event in Minneapolis. “Implementing our dual mandate is the Federal Reserve’s best way to promote broadly shared prosperity.”

Jefferson did not directly comment on the direction the Fed sees policy taking as it seeks to achieve both full employment and stable prices.

His comments followed a flurry of comments from colleagues who said the Fed needed to raise interest rates more to bring down inflation, which is still at its highest levels since the early 1980s.

– Jeff Cox

The Fed’s Bullard says monetary policy is not yet “tight enough.”

St. Louis Federal Reserve President James Bullard said more tightening may be needed for the central bank to curb inflation.

He said on Thursday that inflation remained unacceptably high and that policy was not “constrained enough” at current levels. The Fed has raised rates this year from zero to a range of 4-4.25% as US inflation has risen to levels not seen in decades.

“So far, the change in the monetary policy stance appears to have had only a limited impact on observed inflation, but market prices suggest that inflation is expected to pick up in 2023,” Bullard said.

– Fred Imbert

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