Global Market developments include Recent global business developments include the US Fed meet outcome, Tesla job cuts, Johnson & Johnson settling talc lawsuits, and China increasing space launches.
Tesla faces leadership departures, Johnson & Johnson settles talc lawsuits, US Federal Reserve maintains rates, Taiwan’s factories thrive, China ramps up space launches, and yen weakens due to Japanese intervention.
FOMC hold interest rates
The Federal Open Markets Committee (FOMC) maintained the Fed funds target rate at 5.25-5.50 percent after a two-day meeting, raising concerns about potential rate cuts and causing mixed results in US stocks.
Tesla staff resigns
Tesla’s top HR executive, Allison Arebalo, has resigned, joining other senior leaders who have also departed. It’s unclear if she was part of broader job cuts or resigned.
Johnson & Johnson plan
Johnson & Johnson plans to settle US lawsuits alleging talc-based products caused ovarian cancer by paying $6.5 billion over 25 years, subject to claimant approval. Despite financial and public relations challenges, J&J maintains its discontinued talc products are safe for consumers.
Taiwan’s factory activity surged
Taiwan’s factory activity surged for the first time in two years, boosting Asia’s rebound. The semiconductor powerhouse’s manufacturing purchasing managers’ index reached 50.2, its best since April 2022.
National Australia Bank Ltd’s Buyback
National Australia Bank Ltd. increased its share price after buying back A$1.5 billion worth of its stock, meeting expectations. However, its cash earnings fell 13% to A$3.55 billion in Q6 2024..
China plans 100 satellite launches
China plans 100 satellite launches by 2024, a 40% increase from last year, despite safety concerns due to deep mainland and densely populated launch sites, unlike the US’s coastal launch sites.
Yen reversed direction
The yen reversed direction in early trade after a sudden surge against the dollar, attributed to Japanese authorities’ intervention, following the Federal Reserve’s policy meeting and mixed US stocks.
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