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U.S. Federal Reserve Chair Jerome Powell speaks during a news conference after a Federal Open Market Committee (FOMC) meeting on September 20, 2023 in Washington, DC.

Chen Mengtong | China News Service | Getty Images

This report is from today’s CNBC Daily Open, our new, international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Like what you see? You can subscribe here.

What you need to know today

‘Policy should remain restrictive’
Federal Reserve officials were divided over the necessity of an additional interest rate increase, minutes of the central bank’s September meeting revealed. But they were unanimous on two points. First, they could “proceed carefully” on future decisions; second, that “policy should remain restrictive for some time until the Committee is confident that inflation is moving down sustainably toward its objective.”

Fourth straight winning session
U.S. markets rose Wednesday. All major indexes closed higher for the fourth consecutive session as Treasury yields pulled back slightly. Following Wall Street, Asia-Pacific stocks climbed Thursday. Hong Kong’s Hang Seng Index popped more than 2%. Separately, economists expect India’s inflation to ease in September — and the country’s economy to remain strong going into 2024.

Boosting stake in China’s banks
Shares of China’s “Big Four” banks rallied after the country’s sovereign wealth fund, Central Huijin Investment, increased its stake in them. Though it’s just a 0.01 percentage point increment in ownership, the fund said it’ll continue boosting its holdings over the next six months — signaling a move to renew confidence in China’s stock market.  

Exxon Mobil buys shale giant
Exxon Mobil has agreed to buy Pioneer Natural Resources, a big player in the shale industry, for $59.5 billion. The agreement’s structured as all-stock deal, which works out to $253 per share. This is Exxon’s biggest acquisition since buying Mobil in 1999 for about $75.3 billion at that time. Exxon’s production in the Permian Basin would more than double to 1.3 million barrels per day once the deal closes next year.

[PRO] Undervalued semiconductor sector
Nvidia’s meteoric rise this year helped rocket shares of other semiconductor firms. But a sell-off in September has made some semiconductor stocks look cheap, according to Morningstar. The research firm views semiconductor stocks as 15% undervalued, on a median price or fair value estimate basis, as of Oct. 3 — and has chosen two stocks as its top picks.

The bottom line

Investors shrugged off Fed minutes that tilted hawkish and a hotter-than-expected PPI report to give markets a fourth consecutive winning session.  

Though there were differences in opinion whether the Fed should hike rates one more time, Fed officials who were in favor of a hike outnumbered those who weren’t. “A majority of participants judged that one more increase in the target federal funds rate at a future meeting would likely be appropriate, while some judged it likely that no further increases would be warranted,” stated minutes of the Fed’s September meeting, with my emphases added.

Chief among Fed members’ concerns was that “policy should remain restrictive for some time until the Committee is confident that inflation is moving down sustainably toward its objective.”

Unfortunately, the U.S. PPI report came in surprisingly hot, rising 0.5% for September compared with the expected 0.3%. It’s true the PPI report focuses on producer prices, while the Fed tends to scrutinize the consumer side of the equation more. But the PPI, by charting inflation from the perspective of goods producers and service suppliers, serves as a leading indicator of where consumer prices will be in the future.

Hence, even if September’s consumer price index, which comes out later today, shows cooling prices, a hot PPI might persuade Fed officials that inflation isn’t exactly “moving down sustainably,” and compel them to keep policy higher for longer.  

“I think the overall trend of PPI, CPI and today’s Fed minutes are going to push the 10-year Treasury yield higher over the coming months,” said Derek Schug, head of portfolio management at Kestra Investment Management.

But investors weren’t fazed. Notably, yields on U.S. Treasurys actually fell — the 10-year note’s yielding 4.569%, compared with last Friday’s 4.782% — despite the prospect of higher-for-longer rates to combat stubborn inflation.

The S&P 500 rose 0.43%, the Dow Jones Industrial Average added 0.19% and the Nasdaq Composite advanced 0.71%, closing above its 50-day moving average for the first time in almost a month.

Investors could be feeling defiant — or wanting to seize the opportunity to snap up stocks at relatively cheaper prices — after September’s stocks slump. As long as the CPI print doesn’t give too unpleasant a surprise, this optimism might just continue.

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Nissan’s new LEAF EV was caught at a Tesla Supercharger in Canada

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Nissan's new LEAF EV was caught at a Tesla Supercharger in Canada

The next-gen LEAF is almost here, and it’s looking better than ever. This isn’t the electric hatch you are used to seeing. Nissan’s new LEAF EV has more range, a fresh crossover design, and yes, it can finally charge up at Tesla Superchargers with an NACS port. With the official reveal just around the corner, someone already spotted the new LEAF at a Tesla charger in Canada.

Nissan is launching the new LEAF in the US and Canada

A little over a week ago, we finally got our first look at the third-generation LEAF. Nissan’s iconic electric hatch has grown into a “sleek and spacious family-friendly crossover.”

The US and Canada will be the first to see the reimagined LEAF later this year. It will join the Ariya in Nissan’s North American EV lineup as it looks to spark growth in one of its most important markets.

Based on the CMF-EV platform, the same one underpinning the Ariya, Nissan promises the new LEAF will have “significant range improvements.” Although no other details were revealed, Nissan’s vehicle programs chief, Francois Bailly, told TopGear.com that it’s expected to have WLTP driving range of up to 373 miles (600 km).

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It will likely be lower on the EPA scale, but anything even close to 300 miles would be a major improvement over the current 212 EPA-estimated miles offered on the 2025 LEAF SV Plus.

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Nissan’s new LEAF EV (Source: Nissan)

The next-gen LEAF will also be Nissan’s first EV to feature an integrated NACS charging port. With its official debut later this year, the new model is out for testing and was just caught testing at a Tesla Supercharger in Canada.

Nissan’s next-gen LEAF charging at a Tesla Supercharger in Canada ahead of its debut (Source: KindelAuto)

If you didn’t know what vehicle it is, the LEAF is hardly recognizable. The new image from KindelAuto gives us a closer look at the new crossover design. It almost looks like a Tesla sitting in front of the charger.

The new LEAF is one of 10 new and refreshed Nissan vehicles set to launch in the US and Canada. It will arrive later this year, followed by the fourth-gen Rogue in 2026, which will be available as a PHEV for the first time.

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Nissan’s upcoming lineup for the US, including the new LEAF EV and “Adventure Focused” SUV (Source: Nissan)

Nissan also plans to build a new “adventure-focused SUV” at its Canton, Mississippi, plant in late 2027. The teaser shows what appears to be a rugged electric Xterra. We’ll have to wait for more details on that one.

Nissan will reveal additional info about the upcoming LEAF mid-year. Check back soon for more updates.

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Barcelona’s new electric commuter ferry runs for 21 hours on a single charge

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Barcelona's new electric commuter ferry runs for 21 hours on a single charge

The Port of Barcelona launched the Ecocat Tres, a highly efficient, all-electric commuter ferry powered by Molabo’s ARIES i50 electric motors.

Ecocat Tres is the latest zero-emission ferry in Bus Nàutic’s growing electric fleet, providing clean transportation between the Drassanes and Llevant wharves. In just its first three months, the Bus Nàutic service logged over 125,000 sustainable trips. Operated by ALSA and backed by the Port of Barcelona, the initiative offers locals and visitors an eco-friendly way to travel, cutting down on road congestion and air pollution in the bustling city.

Built by Spanish shipbuilder Metaltec Naval, Ecocat Tres is a 15-meter aluminum catamaran that carries up to 84 passengers. It even includes a rooftop deck, offering extra seating and a breezy ride across the port. The ferry runs every 15 to 30 minutes for at least 12 hours each day, with the entire trip taking about 10 minutes.

Under the deck are two powerful 48V Molabo ARIES i50 motors, enabling the electric ferry to hit a top speed of 12 knots. Cruising at its regular operational speed of 5 knots, Ecocat Tres can run efficiently for up to 21 hours on a single charge, making it highly reliable for daily commuters.

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Molabo’s motors have a low-voltage setup, which makes them safer to maintain compared to traditional high-voltage electric systems. Passengers also enjoy a smoother, quieter ride thanks to significantly reduced noise and vibrations onboard. Azimut Marine supplied the full propulsion and energy system, which includes two ARIES 50 kW electric drives, 36 batteries providing a total of 216 kWh, fast chargers, and integrated solar panels. Impressively, solar power alone can cover up to 40% of the ferry’s energy needs.

Ecocat Tres will cut around 90 tons of CO2 emissions each year, making a positive impact on Barcelona’s ambitious climate goals.

Port of Barcelona president José Antonio Carbonell said, “This 100% electric, zero-emission passenger ferry is helping us reshape mobility in the port and accelerate the decarbonization of our operations.”


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BYD’s new Qin L EV is off to a hot start with +10,000 sold in its first week

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BYD's new Qin L EV is off to a hot start with +10,000 sold in its first week

The stylish new electric sedan is the size of a Tesla Model 3, but it’s about half the cost at under $17,000. BYD’s Qin L EV is already off to a hot start, with over 10,000 sold in its first week on the market. Here’s a look at the new midsize model.

Meet BYD’s new Qin L EV

After launching the Qin L EV on March 24, BYD called it “the most attractive choice for young people in the era of intelligent driving.” Well, it’s already off to a good start.

The sleek new electric sedan starts at just 119,800 yuan, or roughly $16,500. That is nearly half the cost of a Tesla Model 3 in China, which starts at 235,500 yuan ($32,500).

At 4,720 mm long, 1,880 mm wide, 1,495 mm tall, and a wheelbase of 2,820 mm, the Qin L EV is a direct competitor to the Model 3 (4,720 mm long, 1,848 mm wide, and 1,442 mm tall, wheelbase of 2,875 mm) in China.

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After just a week on the market, BYD’s new EV already looks like a hit. The company announced it sold over 10,000 Qin L EVs in its first week.

It’s available with two BYD Blade battery packs, 46.08 kWh and 56.64 kWh, providing 470 km (292 miles) and 545 km (338 miles) CLTC range. BYD says it can also fast charge (30% to 80%) in 24 minutes.

The cheapest Model 3 (RWD) in China is rated with up to 634 km (394 miles) on the CLTC rating scale. For 275,500 yuan ($38,000), the Extended Range Model 3 offers up to 713 km (443 miles).

Like all of its new EVs, the Qin L is equipped with BYD’s “God’s Eye” smart driving tech, which includes functions like navigation on autopilot and remote-control parking.

The interior is based on BYD’s refreshed design with a 15.6″ floating infotainment, 12″ W-HUD, and 8.8″ driver display screens. It also includes its premium DiLink 100 smart cockpit system with voice control, 5G connectivity, integrated DeepSeek AI, and more.

Higher-end trims even include a built-in mini fridge that can heat and cool. However, even the most expensive model starts at just 139,800 yuan ($19,300).

Would you buy BYD’s Qin L EV for under $20,000? It looks like a steal. Let us know what you think of it in the comments.

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