{"id":80608,"date":"2025-11-05T10:50:54","date_gmt":"2025-11-05T02:50:54","guid":{"rendered":"https:\/\/www.kgieworld.sg\/research\/?p=80608"},"modified":"2025-11-05T10:50:54","modified_gmt":"2025-11-05T02:50:54","slug":"weekly-securities-newsletter-5-november-2025","status":"publish","type":"post","link":"https:\/\/www.kgieworld.sg\/research\/weekly-securities-newsletter-5-november-2025\/","title":{"rendered":"Weekly Securities Newsletter: 5 November 2025"},"content":{"rendered":"\n
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Big Tech\u2019s Week<\/strong><\/p>\n\n\n\n

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Chart of the Week:
Fed Delivers Hawkish 25 bps Cut, to End QT in December<\/h2>\n\n\n\n

As expected, the Fed cut rates by 25 bps but indicated no commitment to another cut in December, citing the current 3.75%\u20134% rate range as near the upper bound of neutral. The Fed will halt quantitative tightening (QT) on December 1 to ease liquidity tightness, meaning the balance sheet size will remain unchanged. According to WSJ, proceeds from maturing MBS will be redirected to short-term Treasuries.<\/p>\n\n\n\n

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Market Recap 1:
Solid Tech Earnings Offset Drag from Hawkish Fed Cut<\/h2>\n\n\n\n

Multiple risk events drove market volatility this week, including Trump\u2019s visits to key Asian nations, the Fed\u2019s hawkish rate cut, and earnings releases from major tech firms. Despite swings in index-heavyweights\u2019 results, all three major U.S. indices posted solid weekly gains.<\/p>\n\n\n\n

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Market Recap 2:
Hawkish Cut Steepens Yield Curve; Long Bonds Volatile, Higher Yields Weigh on Gold<\/h2>\n\n\n\n

The Fed\u2019s hawkish cut narrowed expectations for further easing, pushing the U.S. Treasury curve higher across maturities and weighing on bond performance. Investment-grade debt declined broadly, with long-duration bonds underperforming due to rate sensitivity.<\/p>\n\n\n\n

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What\u2019s Trending:
Trump Visits Key Asian Nations to Rebuild Post\u2013Trade War Ties<\/h2>\n\n\n\n

Last week, Trump toured several Asian countries, attending the ASEAN Summit and meeting Japanese Prime Minister Sanae Takaichi, South Korean President Lee Jae-myung, and Chinese President Xi Jinping. The trip, his first to Asia since implementing reciprocal tariffs, aimed to rebuild trade relationships, though prior trade-war plays continued to correct.<\/p>\n\n\n\n

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In Focus 1:
Tech Giants\u2019 Earnings Highlight Robust AI Demand; Growth Strong but Expectations High<\/h2>\n\n\n\n

This week, alongside Nvidia\u2019s GTC, the four AI giants\u2014Meta, Google, Amazon, and Microsoft\u2014released earnings, with investors focused on cloud growth and capex trends.<\/p>\n\n\n\n

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In Focus 2:
Trade Tensions Ease; Asia\u2019s Tech Hardware Supply Chain Remains Indispensable<\/h2>\n\n\n\n

Overall, the four AI giants delivered solid revenue and profitability, with cloud services growing 20\u201340% YoY, showing strength beyond their core businesses and supporting sustained AI hardware demand.<\/p>\n\n\n\n

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As expected, the Fed cut rates by 25 bps but indicated no commitment to another cut in December, citing the current 3.75%\u20134% rate range as near the upper bound of neutral. The Fed will halt quantitative tightening (QT) on December 1 to ease liquidity tightness, meaning the balance sheet size will remain unchanged. According to WSJ, proceeds from maturing MBS will be redirected to short-term Treasuries.<\/p>\n","protected":false},"author":17,"featured_media":78162,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_eb_attr":"","_uag_custom_page_level_css":"","footnotes":""},"categories":[35],"tags":[],"class_list":["post-80608","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-global-markets-weekly-updates"],"aioseo_notices":[],"uagb_featured_image_src":{"full":["https:\/\/www.kgieworld.sg\/research\/wp-content\/uploads\/2025\/09\/g9fb145868bbf4b2a0a600cc5191443399fbcb8b9a0187cdd7c7e76e4e43f03ce27420dc14de53e4d0b320ccd4e12316d_1280-582929.jpg?wsr",851,1280,false],"thumbnail":["https:\/\/www.kgieworld.sg\/research\/wp-content\/uploads\/2025\/09\/g9fb145868bbf4b2a0a600cc5191443399fbcb8b9a0187cdd7c7e76e4e43f03ce27420dc14de53e4d0b320ccd4e12316d_1280-582929-150x150.jpg?wsr",150,150,true],"medium":["https:\/\/www.kgieworld.sg\/research\/wp-content\/uploads\/2025\/09\/g9fb145868bbf4b2a0a600cc5191443399fbcb8b9a0187cdd7c7e76e4e43f03ce27420dc14de53e4d0b320ccd4e12316d_1280-582929-199x300.jpg?wsr",199,300,true],"medium_large":["https:\/\/www.kgieworld.sg\/research\/wp-content\/uploads\/2025\/09\/g9fb145868bbf4b2a0a600cc5191443399fbcb8b9a0187cdd7c7e76e4e43f03ce27420dc14de53e4d0b320ccd4e12316d_1280-582929-768x1155.jpg?wsr",768,1155,true],"large":["https:\/\/www.kgieworld.sg\/research\/wp-content\/uploads\/2025\/09\/g9fb145868bbf4b2a0a600cc5191443399fbcb8b9a0187cdd7c7e76e4e43f03ce27420dc14de53e4d0b320ccd4e12316d_1280-582929-681x1024.jpg?wsr",681,1024,true],"1536x1536":["https:\/\/www.kgieworld.sg\/research\/wp-content\/uploads\/2025\/09\/g9fb145868bbf4b2a0a600cc5191443399fbcb8b9a0187cdd7c7e76e4e43f03ce27420dc14de53e4d0b320ccd4e12316d_1280-582929.jpg?wsr",851,1280,false],"2048x2048":["https:\/\/www.kgieworld.sg\/research\/wp-content\/uploads\/2025\/09\/g9fb145868bbf4b2a0a600cc5191443399fbcb8b9a0187cdd7c7e76e4e43f03ce27420dc14de53e4d0b320ccd4e12316d_1280-582929.jpg?wsr",851,1280,false]},"uagb_author_info":{"display_name":"Enya Tan","author_link":"https:\/\/www.kgieworld.sg\/research\/author\/enya-tankgi-com\/"},"uagb_comment_info":0,"uagb_excerpt":"As expected, the Fed cut rates by 25 bps but indicated no commitment to another cut in December, citing the current 3.75%\u20134% rate range as near the upper bound of neutral. The Fed will halt quantitative tightening (QT) on December 1 to ease liquidity tightness, meaning the balance sheet size will remain unchanged. According to…","_links":{"self":[{"href":"https:\/\/www.kgieworld.sg\/research\/wp-json\/wp\/v2\/posts\/80608","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.kgieworld.sg\/research\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.kgieworld.sg\/research\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.kgieworld.sg\/research\/wp-json\/wp\/v2\/users\/17"}],"replies":[{"embeddable":true,"href":"https:\/\/www.kgieworld.sg\/research\/wp-json\/wp\/v2\/comments?post=80608"}],"version-history":[{"count":4,"href":"https:\/\/www.kgieworld.sg\/research\/wp-json\/wp\/v2\/posts\/80608\/revisions"}],"predecessor-version":[{"id":80613,"href":"https:\/\/www.kgieworld.sg\/research\/wp-json\/wp\/v2\/posts\/80608\/revisions\/80613"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.kgieworld.sg\/research\/wp-json\/wp\/v2\/media\/78162"}],"wp:attachment":[{"href":"https:\/\/www.kgieworld.sg\/research\/wp-json\/wp\/v2\/media?parent=80608"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.kgieworld.sg\/research\/wp-json\/wp\/v2\/categories?post=80608"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.kgieworld.sg\/research\/wp-json\/wp\/v2\/tags?post=80608"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}