Squawk Box Europe Express

Chinese equities rebound after Wall Street slides, with the Hang Seng leading the charge, as new Covid cases decline in the country for the first time in over a week. Crude prices rebound, in spite of more hawkishness from the Fed's James Bullard, ahead of a key meeting of oil producers later this week with a major policy adjustment reportedly on the table. Blockfi files for bankruptcy, leaving at least 100,000 creditors on the hook, as the crypto lender becomes the latest company to fold in the wake of FTX's dramatic collapse. And, Elon Musk accuses Apple of halting its advertising on Twitter and threatening to remove the platform from its app store.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Protests erupt across China, some even calling openly for Xi Jinping to go – as frustration mounts over strict Covid controls. Profits at China's industrial firms slide, weighed down by Covid restrictions and falling factory-gate prices, as authorities unleash waves of new stimulus to spur demand. Oil prices plunge - hitting their lowest level since 2021, and Asian equities also slide, as uncertainty over China rattles markets. And, Black Friday online sales top 9 billion dollars, hitting a new record as consumers flock to 'Buy Now Pay Later' platforms to offset soaring prices.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Covid cases in China hit fresh record highs as new local infections top 30,000, weighing on investor sentiment in the region. The ECB stresses further rate rises are needed to prevent inflation from becoming entrenched, with Board Member Isabel Schnabel signaling the central bank is not yet planning to slow the pace of hikes. EU states remain deadlocked over a price cap on Russian oil, while energy ministers in Brussels agree to revisit a price cap on gas next month. Retailers brace for one of the busiest shopping days of the year. U.S. consumers are expected to increase their Black Friday spending, while European shoppers face a downturn.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Wall Street is in the green ahead of the Thanksgiving holiday period as the Federal Reserve hints that it may soon wind down the pace of rate hikes. In China, authorities tighten Covid restrictions again as cases reach a new record high. The PBOC has suggested a potential RRR cut in a bid to support the economy. EU nations are at loggerheads over both the proposed G7 Russian oil exports price cap as well as a ceiling on gas as the bloc meets today for an extraordinary energy summit. Russian missiles pound Ukrainian energy infrastructure installations causing nationwide blackouts. President Volodomyr Zelenskyy tells the UN Security Council that Moscow is guilty of energy terrorism.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Credit Suisse warns of a CHF1.5bn loss in the fourth quarter. The lender will be asking shareholders to vote on its restructuring and capital-raising plans. U.S. markets are up ahead of the Thanksgiving holiday with investors eyeing Fed minutes later today. The EU proposes a €275/MWh gas price cap in a bid to stem soaring costs across the bloc this winter. However, Greek energy minister Kostas Skrelas tells CNBC the level is too high. The FTX bankruptcy proceeding is under way in Delaware amid allegations of lost assets and fatal mismanagement by founder and CEO Sam Bankman-Fried.  See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Beijing orders closures of numerous public facilities as Covid infections in the capital hit a record high. Cases also continue to surge in Guangzhou and Chongqing. The dollar and Treasury yield dip as Cleveland Federal Reserve President Loretta Mester tells this channel that inflation needs to slow further before she is ready to stop raising rates. Crude rallies after hitting a ten-month low as Saudi Arabia denies reports that Opec+ is set to hike output next month. The fallout from the collapse of FTX continues to be felt in the sector with Bitcoin falling to below $16,000 for the first time in 2 years while lender Genesis is now reportedly set to file for bankruptcy.   See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Chinese authorities locks down the largest districts in Beijing and Guangzhou following the country’s first Covid deaths in six months. Former Disney CEO Bob Iger returns to the role to replace Bob Chapek as the entertainment giant attempts to regain momentum following a torrid quarter. Investors turn their focus on retail earnings and upcoming Black Friday sales for signs of resilience from the U.S. consumer. Atlanta Federal Reserve President Raphael Bostic suggests that one more rate rise of up to 100bps could prove to be enough to bring down inflation. In crypto new, FTX admits it owes its top 50 creditors more than $3bn as the new CEO scrambles to sell off or restructure the business. And in Egypt, Cop27 wraps up with negotiators hailing an agreement on ‘loss and damage’ funds. However, no deal has been reached to further curb greenhouse gases.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

U.S. equities dip slightly for a second day while bond yields rise after St Louis Federal Reserve President James Bullard argues that rate rises have had a minimal effect at curbing inflation. However, Bullard believes that 2023 will finally see disinflation. There are hopes of reopening in China with Alibaba shares up to a six-week high in Hong Kong. This, despite the company missing sales forecasts due to zero-Covid restrictions. In the Bahamas, the government seizes collapsed crypto exchange FTX’s assets following its bankruptcy filing. And there is turmoil at Twitter as mass resignations follow CEO Elon Musk’s call for a new ‘hardcore’ work culture at the social media giant.  See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

UK Chancellor Jeremy Hunt is set to present his autumn budget in the House of Commons later today. Bank of England governor Andrew Bailey says that recent political and financial turmoil has battered the country’s reputation. U.S. markets are in the red following a Christmas warning note from retail giant Target. Federal Reserve governor Christopher Waller indicates that pace of rate hikes may be close to slowing. Tuesday’s fatal explosion in eastern Poland has been judged not to have been part of a deliberate attack by Russia. However, European Parliament President Roberta Metsola tells CNBC that pressure on Moscow must be maintained. Singaporean investment titan Temasek writes down its $300m stake in FTX. It says it misplaced trust in CEO Sam Bankman-Fried. Short-seller Carson Block tells this channel that the crypto sector has lost its way.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

World leaders hold an emergency meeting at the G20 in Bali after an alleged missile kills two people in a Polish village near the Ukrainian border. President Biden is cautious on speculation the missile may have been launched by Russian forces. U.S. equities rally once more after factory inflation data comes in weaker than expected. October producer prices rose 0.2 per cent. Former U.S. President Donald Trump has officially announced he will run in 2024 despite intense criticism within the GOP. In crypto news, BlockFi could be next in line to file for bankruptcy. Crypto.com CEO Kris Marszalek tells CNBC the sector is feeling the impact of FTX’s collapse.  See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

China’s economy continues to stutter as October data comes in short with Covid restrictions and a property slump weighing heavily on activity. U.S. equities are in the red for the first time in three sessions after Federal Reserve Vice Chairman Lael Brainard backs slower tightening but says that further work lies ahead. Berkshire Hathaway makes a $4bn swoop for a holding in Taiwanese chip maker TSMC – the third tech company in its portfolio. German semi-conductor firm Infineon hikes its long-term guidance following a 30 per cent rise in FY revenue as well as unveiling plans for a new €5bn facility in Dresden. And in Bali, Indonesia, President Biden and President Xi strike a warmer tone despite recently soured relations between Washington and Beijing. The U.S. has voiced concerns over rhetoric regarding Taiwan but President Biden has downplayed talk of a new Cold War.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

President Biden and President Xi prepare to meet for head-to-head talks at the G20 in Bali as relations between the world’s biggest economies sour further. We hear from German economy minister Robert Habeck who says Berlin must diversify its economic partners after cancelling several high-profile Chinese investments. In the U.S., Democrats retain the Senate with wins in Arizona and Nevada. The GOP are set to win the House of Representatives. Tech stocks lift the S&P 500 while global sentiment shifts helps European equities to their best weeks since March. And in crypto news, the collapse of the FTX exchange shocks the sector. Rival Binance withdraws FTX tokens from its platform.  See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Wall Street posts its best day since 2020 with the Dow surging over a thousand points on signs inflation may have peaked. Goldman Sachs’ tells CNBC the data vindicates the Fed's approach. The jump in U.S. equities sends yields sharply lower while the dollar sinks in its worst day since 2009. China adjusts its Covid controls, cutting the quarantine period for close contacts and easing restrictions for inbound travelers as Beijing looks to minimise the number of people affected by the measures. The White House announces President Biden will hold his first face-to-face meeting with Chinese leader Xi Jinping next week, with the aim of improving relations between the two global superpowers. In the world of crypto, FTX's Sam Bankman-Fried courts investors, reportedly seeking more than 9 billion dollars to rescue the crypto exchange. SEC Chairman Gary Gensler tells CNBC the sector is failing to comply with clear rules.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19

Wall Street is in the red as control of the U.S. Congress remains undecided and the crypto sell-off sinks market sentiment. Crypto exchange Binance pulls out of a deal to buy up troubled rival FTX’s U.S. business, citing “issues beyond our control and our ability to help”. There are three U.S. states whose Senate midterm election results hang in the balance. Georgia is set for a December run-off with Nevada and Arizona still too close to call. Meanwhile, President Biden says he prepared to form bipartisan ties with Republican lawmakers. Social media giant Meta are set to slash 11,000 jobs. CEO Mark Zuckerberg has said he takes full responsibility for the redundancies.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Control of the U.S. Senate is too close to call as Pennsylvania lieutenant-governor John Fetterman flips the seat from Republican to Democrat. Meanwhile GOP Senate candidate for Georgia Herschel Walker urges voters to remain patient. NBC News estimates that Republicans will take control of the House of Representatives with a projected win of 219 seats. An NBC poll finds that the cost of living and abortion rights topped voter concerns. Meanwhile two-thirds do not want President Biden to run for a second term. In crypto news, FTX’s coin crashes with more than $2bn wiped out. Rival Binance has swooped in for FTX’s non-U.S. business.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

New Twitter CEO Elon Musk has urged independent voters to back GOP candidates in the mid-term elections while Donald Trump has hinted he will put his name forward for the presidential race in 2024. Wall Street has reacted ahead of the elections closing in the green for the second straight session. The Dow is up by more than 400 points. The EU has accused the U.S. Inflation Reduction Act of breaching international trade rules. German Finance Minister Christian Lindner tells CNBC that he is concerned about the Act’s consequences on European business. We are also live at COP27 in Sharm El-Sheikh where despite billions being pledged by world leaders, the impasse between ambition and execution on climate change remains vast. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Apple says that Beijing’s zero-Covid policy is damaging production of its most popular mobile phones. Chinese exports and imports contract for October, simultaneously shrinking for the first time since May 2020. Octobers non-farm payroll data beats expectations. However, the Dow breaks a four-week winning streak on rising rate concerns. Richmond Federal Reserve President Thomas Barkin tells CNBC prices still have some way to go. In tech news, thousands of Twitter employees are fired as part of Elon Musk’s overhaul of the social media giant. The company will launch its blue tick subscription service reportedly after the U.S. mid-term elections. We are also live at COP27 in Sharm El-Sheikh, Egypt where IMF managing director Kristalina Georgieva tells CNBC that higher fuel prices are accelerating adoption of greener energies.  See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

The Bank of England hikes interest rates to a historic 3 per cent – the largest jump in 30 years. Governor Andrew Bailey has told CNBC the MPC’s move was needed despite the threat of recession. U.S. equities are in the red as investors brace for October non-farm payroll numbers. They are expected to show employment activity decelerating to its slowest rate in two years. Chinese tech stocks rally on the Hang Seng amid reports of positive U.S. audits of Chinese companies and a potential relaxation of the country’s zero-Covid restrictions. Stateside, Twitter lay-offs are reportedly set to begin today following Elon Musk’s takeover of the social media giants. There are also job cuts expected at Lyft and Strip while Amazon freezes further hiring.  See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Federal Reserve Chairman Jerome Powell seeks to terminate market speculation of a pivot away from raising rate hikes. Powell said it was ‘premature’ to end the hiking cycle. Wall Street reacts by dipping into the red following earlier gains while Treasury yields edge higher. Service activity in China falls to its lowest level since May as Beijing’s strict zero-Covid policies continue to strangle the economy. We are live at Web Summit in Lisbon where Ukrainian First Lady Olena Zelenska tells CNBC countries must put aside national self-interest and continue assisting her country in its war against Russia.  See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

U.S. equities dip as investors brace for a fourth consecutive 75bps rate hike from the Federal Reserve. HSBC CEO Noel Quinn tells CNBC he believes the U.S. central bank is close to it. Mainland Chinese markets add to yesterday’s big gains despite Beijing denying rumours it will soften its zero-Covid policy. Standard Chartered CEO Bill Winters says he is bullish that Chinese growth will return. The BoE sells up to £750m of UK government debt, becoming the first central bank to sell sovereign bonds back to the markets. And we are live at Web Summit in Lisbon where hot topics will include Elon Musk’s takeover of Twitter and U.S. regulators’ potential crackdown on TikTok.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.