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Customers at a restaurants on Nanjing East Road in Shanghai, China, on Wednesday, Oct. 2, 2024. 

Qilai Shen | Bloomberg | Getty Images

This report is from today’s CNBC Daily Open, our 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

Geopolitical uncertainty  
Major U.S. indexes all closed slightly
above the flatline on Wednesday. Oil prices continued rising, helping energy stocks outperform. Nike fell 6.8% and Tesla lost 3.5%. Asia-Pacific stocks traded mixed Thursday. Japan’s Nikkei 225 rose about 2% as the yen slipped, while Hong Kong’s Hang Seng index dropped around 1.4% after enjoying a strong rally on Wednesday.

Yen slides on Ishiba’s dovish comments 
The Japanese yen fell to as low as 147.15 against the U.S. dollar during Asia trading hours today on dovish comments from new Japanese Prime Minister Shigeru Ishiba. “I do not believe that we are in an environment that would require us to raise interest rates further,” Ishiba said Wednesday. Analysts, however, think the Bank of Japan will still raise rates by early 2025. 

OpenAI’s $157 billion valuation 
OpenAI has raised $6.6 billion in its latest funding round, putting it at a valuation of $157 billion. The round was led by Thrive Capital – which planned to invest $1 billion – and included participation from Microsoft, Nvidia and Softbank, said a person with knowledge of the matter.  

Behind India’s booming market 
India Nifty 50 index is up 18.7% year to date, hitting record highs on its way there. Several factors are driving its rally: public infrastructure investments by the government, companies diversifying their supply chains away from China to India, healthy economic growth, a growing population and lower U.S. Federal Reserve interest rates.  

[PRO] Opportunities amid disruptions 
Strikes by longshoremen at U.S. coastal ports are only the latest in a series of supply chain disruptions we’ve experienced in recent years. While those interruptions are generally bad for the global economy by increasing shipment prices and delivery times, Goldman Sachs thinks some stocks can benefit from such events.

The bottom line

The nature of today’s globalized world means that the manufacturing process of one smartphone may take it to more places around the world than I will ever be. 

It may begin with designing a blueprint in the U.S., sourcing minerals from China, manufacturing semiconductors in Taiwan, assembling the product in India and working with the European Union to meet standards. 

But supply lines are so intricately connected that the moment one link in the chain snaps, the whole process can be interrupted. 

That’s why the recent tension in the Middle East – already simmering for a year, now bubbling slightly more furiously – has weighed on investor sentiment across the world. The conflict’s effects are magnified because the region is the epicenter of oil production, and oil is, well, literally the fuel for the global economy.  

Furthermore, producing oil is not like manufacturing a smartphone, in which a company can shift assembly to another country. Either there is or isn’t oil in the land. Oil suppliers are bound to where they are. 

You’d expect that markets would have been shaken by that threat to the global economy. But all major U.S. indexes managed to close just a tad above the flatline. The S&P 500 was mostly unchanged, the Dow Jones Industrial Average eked out a 0.09% gain and the Nasdaq Composite ticked up 0.08%. 

Headwinds blowing from Middle East might have been tempered by optimism in China.  

Lifted by Beijing’s recent announcement of economic stimulus, Chinese stocks have been on a tear. That’s caused U.S. exchange-traded funds that track Chinese stocks to rally, helping to keep the U.S. market afloat amid worries over the escalating Middle East conflict. 

Indeed, U.S. stocks tend to benefit whenever the Chinese government unleashes economic stimulus and credit expansion, according to Ryan Grabinski, strategist at Strategas Securities. 

Here’s the flipside of globalization: Negative developments in one part of the world may weigh down others, but positive ones will radiate optimism beyond their origin. 

– CNBC’s Hakyung Kim, Yun Li, Alex Harring and Samantha Subin contributed to this story.   

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Europe’s wind power hits 20%, but 3 challenges stall progress

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Europe’s wind power hits 20%, but 3 challenges stall progress

Wind energy powered 20% of all electricity consumed in Europe (19% in the EU) in 2024, and the EU has set a goal to grow this share to 34% by 2030 and more than 50% by 2050.

To stay on track, the EU needs to install 30 GW of new wind farms annually, but it only managed 13 GW in 2024 – 11.4 GW onshore and 1.4 GW offshore. This is what’s holding the EU back from achieving its wind growth goals.

Three big problems holding Europe’s wind power back

Europe’s wind power growth is stalling for three key reasons:

Permitting delays. Many governments haven’t implemented the EU’s new permitting rules, making it harder for projects to move forward.

Grid connection bottlenecks. Over 500 GW(!) of potential wind capacity is stuck in grid connection queues.

Slow electrification. Europe’s economy isn’t electrifying fast enough to drive demand for more renewable energy.

Brussels-based trade association WindEurope CEO Giles Dickson summed it up: “The EU must urgently tackle all three problems. More wind means cheaper power, which means increased competitiveness.”

Permitting: Germany sets the standard

Permitting remains a massive roadblock, despite new EU rules aimed at streamlining the process. In fact, the situation worsened in 2024 in many countries. The bright spot? Germany. By embracing the EU’s permitting rules — with measures like binding deadlines and treating wind energy as a public interest priority — Germany approved a record 15 GW of new onshore wind in 2024. That’s seven times more than five years ago.

If other governments follow Germany’s lead, Europe could unlock the full potential of wind energy and bolster energy security.

Grid connections: a growing crisis

Access to the electricity grid is now the biggest obstacle to deploying wind energy. And it’s not just about long queues — Europe’s grid infrastructure isn’t expanding fast enough to keep up with demand. A glaring example is Germany’s 900-megawatt (MW) Borkum Riffgrund 3 offshore wind farm. The turbines are ready to go, but the grid connection won’t be in place until 2026.

This issue isn’t isolated. Governments need to accelerate grid expansion if they’re serious about meeting renewable energy targets.

Electrification: falling behind

Wind energy’s growth is also tied to how quickly Europe electrifies its economy. Right now, electricity accounts for just 23% of the EU’s total energy consumption. That needs to jump to 61% by 2050 to align with climate goals. However, electrification efforts in key sectors like transportation, heating, and industry are moving too slowly.

European Commission president Ursula von der Leyen has tasked Energy Commissioner Dan Jørgensen with crafting an Electrification Action Plan. That can’t come soon enough.

More wind farms awarded, but challenges persist

On a positive note, governments across Europe awarded a record 37 GW of new wind capacity (29 GW in the EU) in 2024. But without faster permitting, better grid connections, and increased electrification, these awards won’t translate into the clean energy-producing wind farms Europe desperately needs.

Investments and corporate interest

Investments in wind energy totaled €31 billion in 2024, financing 19 GW of new capacity. While onshore wind investments remained strong at €24 billion, offshore wind funding saw a dip. Final investment decisions for offshore projects remain challenging due to slow permitting and grid delays.

Corporate consumers continue to show strong interest in wind energy. Half of all electricity contracted under Power Purchase Agreements (PPAs) in 2024 was wind. Dedicated wind PPAs were 4 GW out of a total of 12 GW of renewable PPAs. 

Read more: Renewables could meet almost half of global electricity demand by 2030 – IEA


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Podcast: New Tesla Model Y unveil, Mazda 6e, Aptera solar car production-intent, more

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Podcast: New Tesla Model Y unveil, Mazda 6e, Aptera solar car production-intent, more

In the Electrek Podcast, we discuss the most popular news in the world of sustainable transport and energy. In this week’s episode, we discuss the official unveiling of the new Tesla Model Y, Mazda 6e, Aptera solar car production-intent, and more.

The show is live every Friday at 4 p.m. ET on Electrek’s YouTube channel.

As a reminder, we’ll have an accompanying post, like this one, on the site with an embedded link to the live stream. Head to the YouTube channel to get your questions and comments in.

After the show ends at around 5 p.m. ET, the video will be archived on YouTube and the audio on all your favorite podcast apps:

We now have a Patreon if you want to help us avoid more ads and invest more in our content. We have some awesome gifts for our Patreons and more coming.

Here are a few of the articles that we will discuss during the podcast:

Here’s the live stream for today’s episode starting at 4:00 p.m. ET (or the video after 5 p.m. ET):

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BYD’s new Han L EV just leaked in China and it’s a monster

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BYD's new Han L EV just leaked in China and it's a monster

The Chinese EV leader is launching a new flagship electric sedan. BYD’s new Han L EV leaked in China on Friday, revealing a potential Tesla Model S Plaid challenger.

What we know about the BYD Han L EV so far

We knew it was coming soon after BYD teased the Han L on social media a few days ago. Now, we are learning more about what to expect.

BYD’s new electric sedan appeared in China’s latest Ministry of Industry and Information Tech (MIIT) filing, a catalog of new vehicles that will soon be sold.

The filing revealed four versions, including two EV and two PHEV models. The Han L EV will be available in single- and dual-motor configurations. With a peak power of 580 kW (777 hp), the single-motor model packs more power than expected.

BYD’s dual-motor Han L gains an additional 230 kW (308 hp) front-mounted motor. As CnEVPost pointed out, the vehicle’s back has a “2.7S” badge, which suggests a 0 to 100 km/h (0 to 62 mph) sprint time of just 2.7 seconds.

BYD-Han-L-EV
BYD Han L EV (Source: China MIIT)

To put that into perspective, the Tesla Model S Plaid can accelerate from 0 to 100 km in 2.1 seconds. In China, the Model S Plaid starts at RBM 814,900, or over $110,000. Speaking of Tesla, the EV leader just unveiled its highly anticipated Model Y “Juniper” refresh in China on Thursday. It starts at RMB 263,500 ($36,000).

BYD already sells the Han EV in China, starting at around RMB 200,000. However, the single front motor, with a peak power of 180 kW, is much less potent than the “L” model. The Han EV can accelerate from 0 to 100 km/h in 7.9 seconds.

BYD-Han-L-EV
BYD Han L EV (Source: China MIIT)

At 5,050 mm long, 1,960 mm wide, and 1,505 mm tall with a wheelbase of 2,970 mm, BYD’s new Han L is roughly the size of the Model Y (4,970 mm long, 1,964 mm wide, 1,445 mm tall, wheelbase of 2,960 mm).

Other than that it will use a lithium iron phosphate (LFP) pack from BYD’s FinDreams unit, no other battery specs were revealed. Check back soon for the full rundown.

Source: CnEVPost, China MIIT

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