Toyota and Daimler Agree to Combine Japan Truck Operations
Daimler and Toyota announced on Tuesday that they had entered a non-binding agreement to combine the businesses of their truck units in Japan. Under the partnership’s memorandum of understanding (MOU), the businesses of Daimler-owned Mitsubishi Fuso Truck and Bus Corp and Toyota subsidiary Hino Motors would be combined under a holding company, as said in a statement.
MACROECONOMIC DATA ANALYSIS
The economy of Switzerland grew by a faster rate than expected during the start of the year, as stated by the government on Tuesday, driven by rising domestic demand and increasing exports. Economic output in the European nation grew by 0.5% in the first three months of 2023, compared with the last quarter of 2022.
Bank of Japan (BOJ) Governor Kazuo Ueda stated on Tuesday that the central bank of the Asian nation, will patiently maintain its ultra-loose monetary as there is some distance to sustainably achieve the 2% inflation target set by the central bank, which is downplaying expectations for a policy change in the near future. Ueda told parliament that the bank expects inflation “to quite clearly slow below 2%" toward the middle of the current fiscal year.
The U.S. dollar remained intact on Tuesday morning, trading near two-month highs as investors and traders digested the potential for further interest rate hikes by the U.S. Federal Reserve. The dollar index, which tracks the greenback against other major currencies, increased 0.10% to 104.225.
Gold prices remained steady on Tuesday, despite growing expectations that the U.S. Federal Reserve will hike interest rates in the near term, which has boosted the dollar greenback and slightly dwindled the bullion. Gold futures inched 0.04% lower to $1,962 per ounce.
Oil prices plummeted on Tuesday’s early trading session as concerns surrounding the viability of the U.S. debt ceiling pact has eased market tension and sentiment, amid mixed messages from major producers regarding supply outlook. Brent futures dropped 1.40% to $76.06 a barrel, while WTI futures crashed 1.22% to $71.79 per barrel.
USA: S&P500 +1.30%, Dow Jones Industrial Average +1.00%, Nasdaq Composite +2.58%
Europe: FTSE 100 -0.17%, DAX +0.30% CAC 40 -0.42%
Asia: Nikkei 225 +0.30%, Hang Seng +0.24%, CSI 300 +0.10%, Nifty 50 +0.13%
OpenAI CEO Sam Altman said on Friday that the corporation is not planning on leaving Europe and areas of the European Union, contrasting a threat made earlier in the week to exit the region if it becomes difficult to comply with stringent artificial intelligence laws. The European Union is drafting a first set of global rules to govern artificial intelligence and Altman believes that the current draft is “over-regulating”.
Shares of technology company Nvidia (NASDAQ:NVDA) have rocketed more than 25% on Wednesday’s after-hours trading session as the chipmaker presented optimistic second quarter revenue forecasts. What also drove Nvidia stock higher is the company’s announcement that it shall double-up on supply to meet accelerating demand for artificial intelligence chips.