News

European auto stocks tumbled almost 4% on Monday after a warning from Stellantis, Volkswagen and Aston rekindled concerns over the sector's earnings outlook in a year marred by slowing demand and aggressive Chinese competition. The rout wiped off nearly $10 billion from the market value of the STOXX Auto & Parts index with Stellantis, listed in Paris and Milan, falling 14% after slashing forecasts and saying it would burn more cash than initially expected. Stellantis, Europe's No. 5 carmaker by market value and owner of the Chrysler, Jeep, Fiat, Citroen and Peugeot brands, cited worsening industry trends, higher costs to overhaul its U.S. business and Chinese competition on electric vehicles.

Global money market funds experienced their highest weekly inflows in nearly six months, with investors cautious about the health of the U.S. economy and concerned that further rate cuts this year could signal deeper economic troubles. Investors bought safer money market funds totaling about $98.32 billion, LSEG Lipper data showed, marking their largest weekly net purchase since April 3. A weak consumer sentiment report last week raised concerns among investors about the health of the labor market, prompting worries that the Fed's rare 50 basis point rate cut the previous week was in response to a sharp economic slowdown.

The Federal Reserve has officially started its rate-cutting cycle. On September 18, the central bank made a more aggressive move than anticipated, slashing the key funds rate by half a percent. This hawkish decision is projected to relieve some pressure on consumers, potentially leading to lower credit card and mortgage rates. While most experts had predicted a rate cut, the consensus expected a more modest quarter-percent reduction. The larger cut shows that the Fed is upbeat on inflation. The

SHANGHAI/SINGAPORE (Reuters) -Chinese stocks swept to their biggest single-day gains in 16 years on Monday, with domestic A-shares registering their highest ever turnover, as investors scrambled to join a searing rally sparked by Beijing's latest raft of stimulus measures. That took its five-day gains since last Tuesday, when Beijing began rolling out stimulus measures to arrest a slowdown in the broader economy, to 21.4%, the strongest since 1996. It was also the best single-day percentage gain for both the CSI and SSEC indexes since 2008.

Global markets had a wild start to the week, with Tokyo’s Nikkei 225 index tumbling nearly 5% while Chinese markets soared on news of fresh stimulus for the faltering economy, with Shanghai up more than 8%. In early European trading, France’s CAC 40 slipped 1.0% to 7,711.66, and Germany’s DAX lost 0.4% to 19,399.02. Japanese shares sank after the ruling Liberal Democrats chose former Defense Minister Shigeru Ishiba late Friday to succeed Prime Minister Fumio Kishida, who is due to step down on Tuesday.

(Bloomberg) -- South African stocks are having their strongest third quarter for 11 years and investors see the gains extending.Most Read from BloombergA 7,000-Year-Old City Emerges as a Haven from Dubai’s Sky-High RentsClimate Migrants Stand to Overwhelm World’s MegacitiesNew Rowhouses in London That Offer a Bridge to the 19th CenturyVanderbilt Leases Struggling NYC Seminary for Campus ExpansionNJ Transit, Amtrak Trains Delayed After Derailment Near NYCThe FTSE/JSE Africa All Share Index is up

PARIS (Reuters) -Stellantis NV on Monday slashed its annual forecasts and said it would burn through more cash than expected, citing worsening trends in the industry, higher costs to overhaul its U.S. business and Chinese competition on electric vehicles. In warning about lower than expected profits, Stellantis joins rivals BMW, Mercedes and Volkswagen, which only days ago cut its annual outlook for the second time in three months. British luxury carmaker Aston Martin also issued a full-year profit warning on Monday citing supply chain disruptions and weakness in China.