Stock Fall, Apple, Biogen, Musk, Hurricane Ian -5 Things to Know

Stock Fall, Apple, Biogen, Musk, Hurricane Ian -5 Things to Know

Here are five things you should know for Wednesday, September 28:

1. – Stock futures resume recession due to high interest rates and recession fears

US stock futures tumbled again on Wednesday, extending their latest slide to the seventh consecutive session and the longest in more than two years, as investors continue to dump risky assets around the world amid concerns about rising interest rates and a near-term recession.

In fact, global equities are trading at their lowest in more than two years as the dollar – a major benefactor of risk-off sentiment – continues to print new twenty-year highs against other global currencies.

The US dollar index, which measures the greenback against a basket of six world currencies, rose 0.4% in overnight trading at a record 10-year 114,583, as the Treasury yield exceeded 4% for the first time since 2008.

The relentless rise of the dollar added further downward pressure on oil prices, which were also in the red as traders slashed near-term demand from some of the world’s largest energy buyers, sending WTI close to $78 a barrel, It is the lowest level in 9 months, during the overnight dealings.

Still in the currency markets, the pound resumed its slide against both the dollar and other major peers as investors, analysts and rating agencies lined up in criticism against the government’s new plans to cut taxes and increase borrowing in the face of a looming recession.

Moody’s Investors Service said the UK’s credit rating is at risk from the plans, while media reports indicated that the government is asking banks not to bet against sterling as it hovers near historic lows against the dollar at 1.0673.

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Market volatility also returned with a vengeance as the Vix Index, aka Wall Street’s “fear gauge” jumped 5.4% in overnight trading to a six-month high of 34.01 points.

In Europe, the region-wide Stoxx 600 is down 1.6% in early Frankfurt trading while the UK’s FTSE 100 is down 1.75%.

On Wall Street, futures linked to the S&P 500 are priced at a lower opening bell of 20 points, while futures linked to the Dow Jones Industrial Average are priced down 95 points. The futures contracts related to the technology-focused Nasdaq are indicating a move of 115 points to the downside.

2. Apple’s stock retracted the iPhone demand drop report

apple (AAPL) Shares fell significantly in premarket trading after a report indicated that the world’s largest technology company would cancel plans to boost iPhone production amid waning consumer demand.

Bloomberg reported Wednesday that Apple has instructed suppliers and assemblers to scale back plans to increase production of the newly launched iPhone 14 by up to 6 million units, opting instead to chase the goal of 90 million โ€” roughly in line with last year’s tally โ€” for the second half of this year. .

Last week, Apple unveiled plans to boost App Store pricing in Europe and Asia following the launch of its newsgroup iPhone 14s, which were priced at the same levels as last year’s iPhone 13 for US customers.

Apple shares are down 4% in pre-market trading to indicate an opening bell price of $145.80 per share.

3. – Biogen stock rises after positive results from Alzheimer’s trial

Biogen (Bahrain Islamic Bank) Shares rose in pre-market trading after the pharmaceutical company and its Japanese partner, Eisai Co Ltd, reported better-than-expected results from their late-stage Alzheimer’s treatment development.

Biogen said the drug, known as lecanemab, improved slowdowns in cognitive function and functional decline in patients with early-stage Alzheimer’s disease, when compared to a placebo in a trial of nearly 1,800 patients.

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Isai said it will apply for full approval for the treatment with the U.S. Food and Drug Administration this year, with a goal for commercial use of the drug in late 2023.

“Today’s announcement gives patients and their families hope that lecanemab, if approved, can slow the progression of Alzheimer’s disease, and provide a clinically meaningful effect on cognition and function,” said Biogen CEO Michael Vonatsos.

Biogen shares were marked 43% higher in premarket trading for an opening bell price of $283.00 per share.

4. – Elon Musk seeks to repeal SEC rule on Twitter Vetting

Elon Musk filed papers in federal court late Tuesday seeking to overturn a US Securities and Exchange Commission ruling requiring a Tesla examination. (TSLA) CEO Twitter Activity (TWTR) .

muscle Imposed “was an unfair limit to freedom of expression.

The Securities and Exchange Commission pursued its investigation into Musk after he asked his nearly 70 million followers in November of last year whether he should sell 10% of his stake in Tesla in order to meet his tax obligations.

His attorney argued, โ€œUnder the consent decree, the SEC has monitored, guarded, and attempted to curb Mr. Musk’s protected speech untouched by federal securities laws.” โ€œAny objective served by the prior approval requirement has been achieved.โ€

Tesla shares were down 2.3% in pre-market trading to indicate an opening bell price of $276.30 per share.

5. – Hurricane Ian slams the Florida coast as a Category 4 storm

The National Hurricane Center said Wednesday that Hurricane Ian, now rapidly approaching Florida’s western layer, will make landfall in the coming hours with sustained winds of up to 140 miles per hour.

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Hurricane Ian, now considered a Category 4 “extremely dangerous” storm on the Saffir-Simpson scale, is likely to hit hurricane winds north of Ft. Myers later today โ€” a path similar to Hurricane Charlie in 2004 โ€” before turning north toward Orlando and Jacksonville as it sweeps across the state with torrential rain, tornadoes and the potential for flash floods.

More than 2.5 million Florida residents were evacuated before the impact, as Governor Ron DeSantis pledged to send troops, electric line workers and extended support to those seeking shelter for what he said could be a ‘historic’ storm.

“Your time to evacuate is coming to an end. You need to evacuate now. You will start feeling the big effects of this storm relatively soon,” DeSantis said during a media event late Tuesday. “Now is the time to do it, now is the time to act.”

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