AI earnings upset the applecart

Anthropic’s IPO filing has reignited enthusiasm for the technology and semiconductor sectors, providing fresh momentum for the broader AI ecosystem ahead of earnings releases from Microsoft and Alphabet after the US market close today. Meanwhile, government bond yields are edging higher this morning as investors remain cautious ahead of policy meetings from the world's three major central banks in the coming days. In today’s episode, we are joined by Eirini Tsekeridou from Fixed Income Research and Nenad Dinic from Equity Strategy Research. They discuss what investors can expect from Brazilian President Luiz Inácio Lula da Silva’s fourth term in office and the key themes to watch as the European earnings season gathers pace, respectively.

Global equities rallied as optimism around artificial intelligence returned to the market, with Anthropic's IPO filing helping to revive sentiment toward the sector. Also, Meta announced massive fundraising plans. A circuit breaker was triggered in Brazil as stock markets plunged after the surprise re-election of President Lula da Silva. Today, Asian markets are mixed but South Korea's KOSPI gained on the revival of the AI trade. The Fed begins its latest policy meeting in what is a crucial week for central bank meetings and earnings. Dr. Damien Ng joins the podcast today to discuss wearables and how they are evolving into a tool to help people make better decisions about their health.

Markets are pulling investors in several directions at once. Strong US economic data is colliding with growing questions over AI spending, while French bond markets have seen historic moves and Middle East tensions have pushed oil prices sharply higher. In Brazil, Lula's surprise election victory is a market earthquake. It promises to be a critical week, with the Fed, ECB and BoJ all set to meet, while companies including Alphabet, Eli Lilly and BP provide fresh guidance. We also hear from Mensur Pocinci, Head of Technical Analysis, on the recent underperformance of technology stocks and what to look out for in gold after last week's decline.

Despite a complex backdrop of geopolitical tensions, elevated bond yields, and rapid technological change, capital markets have shown remarkable resilience this year, defying expectations of deeper disruption. What’s behind this strength, and how should investors position for what's next? In this episode, Yves Klenk, Head of Client Coverage and Advisory, and Marko Radovic, Senior Portfolio Manager and Head of Alternatives at Julius Baer, join Helen Freer to discuss the major themes shaping financial markets today. They reflect on the biggest surprises of the year, the outlook for broadening market performance, and where investors can find opportunities to diversify their exposure. The conversation also explores the implications of the upcoming US midterm elections, the role of private markets in portfolio construction, and the key forces driving markets today.

Meta Platforms sparked a broader sell-off across the semiconductor complex after reporting its first cash outflow in more than a decade. At the same time, government bonds rallied, pushing the 10-year US Treasury yield back below 5%. Meanwhile, pressure on French assets intensified, with the spread between French and German 10-year government bond yields widening towards 180 basis points. In today’s Moving Markets episode, Richard Tang, Head of Research in Hong Kong, joins us to discuss the outlook for Chinese equities after major indices slipped into bear-market territory.