Market UpdatesJul 09, 20262 Min
Global market wrap: Asian stocks fall, oil gains as US strikes Iran again; SK Hynix’s US share sale sees solid demand
We are back with quick updates on global stock markets, commodities and corporate developments that you shouldn’t miss.
Asian markets were mostly trading lower on Thursday, barring Japan’s Nikkei, after the US bombed Iranian cities for a second consecutive night.
Japan’s Nikkei 225 bounced back 1.9% to 68,087 on Thursday after closing 2% lower in the previous session. South Korea’s benchmark Kospi was trading down marginally by 0.4% at 7,221.
China’s Shanghai Composite index fell 0.5% to 3,952, while Hong Kong’s Hang Seng Index dropped 0.8% to 24,003.
Australia’s S&P/ASX 200 was trading lower by 0.7% to 8,726 on Thursday. Singapore’s Straits Times, however, gained 0.8% to 5,411.
US stock futures were trading with marginal gains in overnight trade after US President Donald Trump said that the ceasefire between the US and Iran is “over”. S&P 500 futures inched up 0.14%, Nasdaq 100 futures were up 0.16%, while futures tied to the Dow rose 0.13%.
In Wednesday’s session, the S&P 500 fell 0.28%, the Nasdaq 100 inched up 0.2%, while the Dow Jones Industrial Average dropped 1.1%.
Oil prices jumped again on Thursday on fears of supply disruptions after fresh strikes on Iran by the US military. The US crude oil futures for July delivery jumped 1.1% to $74.33 per barrel by 0006 ET. Brent futures, the international benchmark, for August delivery gained 1.1% to $78.88 per barrel.
Gold prices dropped for a fifth straight session as expectations of a rate cut happening in the immediate future weakened. Minutes from the Fed’s June meeting revealed a divided central bank that was reluctant to cut rates until officials see clearer evidence that inflation is moving sustainably toward its target.
Spot gold slipped 0.4% on Wednesday to $4,062 per ounce by 0408 GMT, while US gold futures for August delivery were down 0.3% to $4,071 per ounce.
Here’s a look at some major developments across global markets:
SK Hynix’s US share sale said to be oversubscribed 7 times
Demand for SK Hynix’s $28 billion US share sale was more than seven times available shares, a Reuters report said. Underwriters have reportedly told investors that pricing guidance is expected to come after the South Korean stock market closes on Thursday, while allocations will be finalised later in the day in US time.
SK Hynix share sale is set to be the world’s second-biggest share sale after SpaceX $85.7 billion IPO last month.
Weak debut for Apple supplier Luxshare on Hong Kong stock exchange
Shares of Apple supplier Luxshare Precision Industry dropped more than 5% in their Hong Kong trading debut on Thursday.
The stock was trading at HK$60 in the early session compared with its initial public offering (IPO) price of HK$63.28. Notably, the stock is already listed in Shenzhen.
SpaceX shares fall below debut price
SpaceX shares closed at $148.30 apiece on Nasdaq on Wednesday, which is below its debut price of $150 per share on June 12.
SpaceX was included in the Nasdaq-100 index on Tuesday. Within two days, the stock has seen a correction of close to 8% and is now down almost 54% from its closing high of $201.80 seen on June 16.
Surprisingly, the share price has been falling despite mostly bullish analyst ratings following the inclusion in the Nasdaq 100 index.
China’s Zhipu AI set to raise HK$31.4 billion in Hong Kong share sale
China’s Zhipu AI Knowledge, formally known as Atlas Technology JSC, has priced its Hong Kong share offering at the bottom end of the price range at HK$1,588 apiece. At this price, the company will manage to raise around HK$31.41 billion ($4.01 billion), according to a report.
Zhipu had sold 19.78 million shares at HK$1,588, the low end of the range of HK$1,588 to HK$1,698 per share. The final price represents a 13% discount to the stock’s last close of HK$1,825. Notably, the company had raised HK$4.35 billion in its Hong Kong IPO at the start of the year.
