Market Update
U.S. and Global Markets Retained Upward Bias Ahead of Rate Decisions from Major Central Banks
Barry Adams
15 Sep, 2025
New York City
Wall Street indexes on Monday edged higher and extended the previous week's gains.
The S&P 500 index advanced 0.2%, and the Nasdaq Composite increased 0.1%, as investors shift focus to the Fed's rate decisions this week.
Investors are hoping that the recent reports on employment and inflation will convince policymakers to lower rates after the policy meeting on Thursday.
The Federal Reserve's policy committee members are struggling to balance the dual mandate of maximum employment and price stability.
While inflation is contained but far from the Fed's target rate of 2%, policymakers are worried about the lagging impact of the sharp escalation in import taxes on goods.
Moreover, job market conditions are deteriorating as businesses are not firing but also not hiring new employees, and the average increase in payrolls in the past three months to August fell to 29,000.
Stock market indexes are creating new peaks, but the broader economy is showing signs of exhaustion from the Trump administration's erratic trade policy.
Businesses are stalling investment decisions, farmers are suffering from the collapse in corn and soybean prices, the manufacturing sector is shrinking employment, and construction projects are struggling amid an exodus of migrants.
At least one-third of independent farmers are likely to face bankruptcy if the Trump administration fails to strike a trade deal with China.
Moreover, as many as 150,000 independent retailers, importers, and distributors are likely to go out of business by the end of 2025, following the sharp hike in import duties.
In the week ahead, the Fed's rate decisions and quarterly results from key companies are likely to dominate trading sentiment.
The central bank is expected to resume its rate cut campaign on Thursday, and investors are anticipating a rate cut of at least 25 basis points.
The Federal Open Market Committee is expected to lower the fed funds rate range to between 4.0% and 4.25% and update its inflation, jobless rate, and economic growth outlook for 2025.
Moreover, retail sales in August are expected to show an annual increase of at least 3%, while industrial output is likely to stall.
On the earnings front, investors are looking forward to quarterly results from General Mills, Cracker Barrel, Dave & Buster's Entertainment, FedEx, Darden Restaurants, Progressive Corp., FactSet Research, and Scholastic Corp.
The central banks of the UK, Japan, and Norway are set to announce their rate decisions this week.
U.S. Stock Movers
Tesla Inc. soared 7.7% to $426.26 after a regulatory filing with the SEC showed that the company's chief executive, Elon Musk, acquired a total of $1.01 billion worth of its stock on Friday.
Nvidia Corp. decreased 1.6% to $174.87 after a Chinese regulator said that the advanced chipmaker violated the country's anti-monopoly law.
U.S. and Global Markets Retained Upward Bias Ahead of Rate Decisions from Major Central Banks
Barry Adams
15 Sep, 2025
New York City
Wall Street indexes on Monday edged higher and extended the previous week's gains.
The S&P 500 index advanced 0.2%, and the Nasdaq Composite increased 0.1%, as investors shift focus to the Fed's rate decisions this week.
Investors are hoping that the recent reports on employment and inflation will convince policymakers to lower rates after the policy meeting on Thursday.
The Federal Reserve's policy committee members are struggling to balance the dual mandate of maximum employment and price stability.
While inflation is contained but far from the Fed's target rate of 2%, policymakers are worried about the lagging impact of the sharp escalation in import taxes on goods.
Moreover, job market conditions are deteriorating as businesses are not firing but also not hiring new employees, and the average increase in payrolls in the past three months to August fell to 29,000.
Stock market indexes are creating new peaks, but the broader economy is showing signs of exhaustion from the Trump administration's erratic trade policy.
Businesses are stalling investment decisions, farmers are suffering from the collapse in corn and soybean prices, the manufacturing sector is shrinking employment, and construction projects are struggling amid an exodus of migrants.
At least one-third of independent farmers are likely to face bankruptcy if the Trump administration fails to strike a trade deal with China.
Moreover, as many as 150,000 independent retailers, importers, and distributors are likely to go out of business by the end of 2025, following the sharp hike in import duties.
In the week ahead, the Fed's rate decisions and quarterly results from key companies are likely to dominate trading sentiment.
The central bank is expected to resume its rate cut campaign on Thursday, and investors are anticipating a rate cut of at least 25 basis points.
The Federal Open Market Committee is expected to lower the fed funds rate range to between 4.0% and 4.25% and update its inflation, jobless rate, and economic growth outlook for 2025.
Moreover, retail sales in August are expected to show an annual increase of at least 3%, while industrial output is likely to stall.
On the earnings front, investors are looking forward to quarterly results from General Mills, Cracker Barrel, Dave & Buster's Entertainment, FedEx, Darden Restaurants, Progressive Corp., FactSet Research, and Scholastic Corp.
The central banks of the UK, Japan, and Norway are set to announce their rate decisions this week.
U.S. Stock Movers
Tesla Inc. soared 7.7% to $426.26 after a regulatory filing with the SEC showed that the company's chief executive, Elon Musk, acquired a total of $1.01 billion worth of its stock on Friday.
Nvidia Corp. decreased 1.6% to $174.87 after a Chinese regulator said that the advanced chipmaker violated the country's anti-monopoly law.
U.S. Movers: RH, Designer Brands, Skillsoft
Scott Peters
12 Sep, 2025
New York City
RH fell 5% to $207.99 after the home furnishing retailer reported a weaker-than-expected sales in the fiscal second quarter ending on August 2.
Consolidated revenue decreased to $899.2 million from $929 million, net income jumped to $51.7 million from $29 million, and diluted earnings per share rose to $2.62 from $1.45 a year ago.
The company guided full-year revenue to increase between 9% and 11%, adjusted operating margin to rise between 13% and 14%, adjusted EBITDA margin to be between 19% and 20%, and free cash flow to be between $250 million and $300 million.
The company guided third-quarter revenue to increase between 8% and 10%, adjusted operating margin to rise between 12% and 34%, and adjusted EBITDA margin to be between 18% and 19%.
The outlook reflects a 270-bps operating margin impact from international expansion and 120 bps from tariffs, net of mitigations.
During the second quarter, RH Corp returned a total of $2.2 billion to shareholders through share repurchases.
Designer Brands Inc. dropped 7.5% to $4.19 after the footwear manufacturer and retailer reported a 22% decline in net income in the fiscal second quarter ending on August 2.
Consolidated revenue decreased to $739.8 million from $771.9 million, net income declined to $10.8 million from $13.8 million, diluted earnings per share fell to 22 cents from 24 cents, and comparable sales decreased by 5.0% from a year ago.
Due to global trade-related uncertainty, the company did not reinstate its full-year 2025 guidance.
Skillsoft Corp. fell 5.2% to $12.60 after the digital learning and training provider reported a narrower net loss in the latest quarter ending on July 31.
Consolidated revenue edged down to $128.8 million from $132.2 million, net loss shrank to $23.8 million from $39.6 million, and diluted losses per share eased to $2.78 from $4.84 a year ago.
Skillsoft guided full-year revenue to be between $510 million and $530 million, and adjusted EBITDA between $112 million and $118 million.
Movers: RH, Designer Brands, Skillsoft
Scott Peters
12 Sep, 2025
New York City
RH fell 5% to $207.99 after the home furnishing retailer reported a weaker-than-expected sales in the fiscal second quarter ending on August 2.
Consolidated revenue decreased to $899.2 million from $929 million, net income jumped to $51.7 million from $29 million, and diluted earnings per share rose to $2.62 from $1.45 a year ago.
The company guided full-year revenue to increase between 9% and 11%, adjusted operating margin to rise between 13% and 14%, adjusted EBITDA margin to be between 19% and 20%, and free cash flow to be between $250 million and $300 million.
The company guided third-quarter revenue to increase between 8% and 10%, adjusted operating margin to rise between 12% and 34%, and adjusted EBITDA margin to be between 18% and 19%.
The outlook reflects a 270-bps operating margin impact from international expansion and 120 bps from tariffs, net of mitigations.
During the second quarter, RH Corp returned a total of $2.2 billion to shareholders through share repurchases.
Designer Brands Inc. dropped 7.5% to $4.19 after the footwear manufacturer and retailer reported a 22% decline in net income in the fiscal second quarter ending on August 2.
Consolidated revenue decreased to $739.8 million from $771.9 million, net income declined to $10.8 million from $13.8 million, diluted earnings per share fell to 22 cents from 24 cents, and comparable sales decreased by 5.0% from a year ago.
Due to global trade-related uncertainty, the company did not reinstate its full-year 2025 guidance.
Skillsoft Corp. fell 5.2% to $12.60 after the digital learning and training provider reported a narrower net loss in the latest quarter ending on July 31.
Consolidated revenue edged down to $128.8 million from $132.2 million, net loss shrank to $23.8 million from $39.6 million, and diluted losses per share eased to $2.78 from $4.84 a year ago.
Skillsoft guided full-year revenue to be between $510 million and $530 million, and adjusted EBITDA between $112 million and $118 million.
China's Macroeconomic Data Confirm Slowing Consumer and Business Activities
Li Chen
15 Sep, 2025
Hong Kong
China stock indexes gained on Monday, and investors reviewed the latest batch of economic updates.
The Hang Seng Index increased 0.2%, and the CSI 300 index increased 0.8%, and investors turned cautious after a mixed batch of economic data for August was released by the National Bureau of Statistics.
Retail sales increased 3.4% from a year ago, slower than 3.7% in July, as the effect of the government's trade-in program for household goods faded.
Industrial output increased 5.2% in August, compared to 5.7% in July, as export growth slowed after the U.S. shipments plunged following months of front-loading ahead of a sharp escalation in tariffs.
Fixed-asset investment growth slowed amid persistent weakness in the residential housing market and receding growth in exports.
Fixed-asset investment from this year to August eased to 0.5% from 1.2% in the seven-month period to July, as domestic economic growth stalled and exports weakened.
Property investment declined 12.9% in the first eight months of 2025 from 12.0% in the period between January and July.
New home sales by floor area declined 4.7% in the first eight months to August compared to a fall of 4.0% in the period to July.
Moreover, new home prices across 70 of the largest metropolitan areas declined 2.5% from a year ago in August, compared to an annual fall of 2.8% in the previous month.
Home prices declined for the 26th consecutive month in August, but the pace of decrease was the slowest since March 2024.
The annual home price decline in Beijing accelerated to 3.5% from 3.6% in the previous month, in Shenzhen to 2.7% from 2.2%, and in Chongqing to 2.4% from 2.1%.
However, new home prices rose in Shanghai at a slower annual pace of 5.9% compared to the 6.1% pace in July.
The persistent demand weakness was driven by weak consumer confidence and deteriorating job market conditions.
The overall urban jobless rate in August inched higher to 5.3% from 5.2% in the previous month, as medium- and small-scale manufacturing businesses continued their expansion overseas.
China Indexes and Stocks
The Hang Seng Index added 0.2% to 26,450.01, and the CSI 300 index advanced 0.8% to 4,558.95.
Alibaba Group Holding increased 3.1% to HK$155.60, Tencent Holdings decreased 0.3% to HK$642.0, and Meituan advanced 0.6% to HK$97.10.
Li Auto jumped 5% to HK$98.05, BYD increased 4.4% to HK¥100.0, and Xpeng Inc. gained 2.5% to $83.35.
China's Macroeconomic Data Confirm Slowing Consumer and Business Activities
Li Chen
15 Sep, 2025
Hong Kong
China stock indexes gained on Monday, and investors reviewed the latest batch of economic updates.
The Hang Seng Index increased 0.2%, and the CSI 300 index increased 0.8%, and investors turned cautious after a mixed batch of economic data for August was released by the National Bureau of Statistics.
Retail sales increased 3.4% from a year ago, slower than 3.7% in July, as the effect of the government's trade-in program for household goods faded.
Industrial output increased 5.2% in August, compared to 5.7% in July, as export growth slowed after the U.S. shipments plunged following months of front-loading ahead of a sharp escalation in tariffs.
Fixed-asset investment growth slowed amid persistent weakness in the residential housing market and receding growth in exports.
Fixed-asset investment from this year to August eased to 0.5% from 1.2% in the seven-month period to July, as domestic economic growth stalled and exports weakened.
Property investment declined 12.9% in the first eight months of 2025 from 12.0% in the period between January and July.
New home sales by floor area declined 4.7% in the first eight months to August compared to a fall of 4.0% in the period to July.
Moreover, new home prices across 70 of the largest metropolitan areas declined 2.5% from a year ago in August, compared to an annual fall of 2.8% in the previous month.
Home prices declined for the 26th consecutive month in August, but the pace of decrease was the slowest since March 2024.
The annual home price decline in Beijing accelerated to 3.5% from 3.6% in the previous month, in Shenzhen to 2.7% from 2.2%, and in Chongqing to 2.4% from 2.1%.
However, new home prices rose in Shanghai at a slower annual pace of 5.9% compared to the 6.1% pace in July.
The persistent demand weakness was driven by weak consumer confidence and deteriorating job market conditions.
The overall urban jobless rate in August inched higher to 5.3% from 5.2% in the previous month, as medium- and small-scale manufacturing businesses continued their expansion overseas.
China Indexes and Stocks
The Hang Seng Index added 0.2% to 26,450.01, and the CSI 300 index advanced 0.8% to 4,558.95.
Alibaba Group Holding increased 3.1% to HK$155.60, Tencent Holdings decreased 0.3% to HK$642.0, and Meituan advanced 0.6% to HK$97.10.
Li Auto jumped 5% to HK$98.05, BYD increased 4.4% to HK¥100.0, and Xpeng Inc. gained 2.5% to $83.35.
China Markets
Li Chen
15 Sep, 2025
Hong Kong
China stock indexes gained on Monday, and investors reviewed the latest batch of economic updates.
The Hang Seng Index increased 0.2%, and the CSI 300 index increased 0.8%, and investors turned cautious after a mixed batch of economic data for August was released by the National Bureau of Statistics.
Retail sales increased 3.4% from a year ago, slower than 3.7% in July, as the effect of the government's trade-in program for household goods faded.
Industrial output increased 5.2% in August, compared to 5.7% in July, as export growth slowed after the U.S. shipments plunged following months of front-loading ahead of a sharp escalation in tariffs.
Fixed-asset investment growth slowed amid persistent weakness in the residential housing market and receding growth in exports.
Fixed-asset investment from this year to August eased to 0.5% from 1.2% in the seven-month period to July, as domestic economic growth stalled and exports weakened.
Property investment declined 12.9% in the first eight months of 2025 from 12.0% in the period between January and July.
New home sales by floor area declined 4.7% in the first eight months to August compared to a fall of 4.0% in the period to July.
Moreover, new home prices across 70 of the largest metropolitan areas declined 2.5% from a year ago in August, compared to an annual fall of 2.8% in the previous month.
Home prices declined for the 26th consecutive month in August, but the pace of decrease was the slowest since March 2024.
The annual home price decline in Beijing accelerated to 3.5% from 3.6% in the previous month, in Shenzhen to 2.7% from 2.2%, and in Chongqing to 2.4% from 2.1%.
However, new home prices rose in Shanghai at a slower annual pace of 5.9% compared to the 6.1% pace in July.
The persistent demand weakness was driven by weak consumer confidence and deteriorating job market conditions.
The overall urban jobless rate in August inched higher to 5.3% from 5.2% in the previous month, as medium- and small-scale manufacturing businesses continued their expansion overseas.
China Indexes and Stocks
The Hang Seng Index added 0.2% to 26,450.01, and the CSI 300 index advanced 0.8% to 4,558.95.
Alibaba Group Holding increased 3.1% to HK$155.60, Tencent Holdings decreased 0.3% to HK$642.0, and Meituan advanced 0.6% to HK$97.10.
Li Auto jumped 5% to HK$98.05, BYD increased 4.4% to HK¥100.0, and Xpeng Inc. gained 2.5% to $83.35.
U.S. Movers: Adobe, Hooker Furniture, Kroger, RH, Super Micro
Scott Peters
12 Sep, 2025
New York City
Adobe Inc. rose 2.5% to $361.01 after the content software developer's quarterly results surpassed market expectations.
In the fiscal third quarter ending on August 29, consolidated revenue increased to $6 billion from $5.4 billion, net income soared to $1.8 billion from $1.7 billion, and diluted earnings per share rose to $4.18 from $3.76 a year ago.
During the quarter, Adobe repurchased approximately 8.0 million shares.
Adobe guided fiscal fourth-quarter revenue to be between $6.075 billion and $6.125 billion, earnings per share between $4.27 and $4.32, and adjusted earnings per share between $5.35 and $5.40.
Adobe guided full-year revenue to be between $23.65 billion and $23.70 billion, earnings per share between $16.53 and $16.58, and adjusted earnings per share between $20.80 and $20.85.
The Kroger Co. inched up 0.4% to $67.48 after the food retailer reported a 30% increase in net income in the fiscal second quarter ending on August 16.
Consolidated revenue inched higher to $33.94 billion from $33.91 billion, net income climbed to $609 million from $466 million, and diluted earnings per share soared to 91 cents from 64 cents a year ago.
The company reported a 16% increase in e-commerce sales.
In the fiscal fourth quarter of 2024, Kroger launched a $5 billion accelerated share repurchase program, expected to be completed in the third quarter of fiscal 2025.
The ASR is part of a $7.5 billion share repurchase authorization, with the remaining $2.5 billion planned for open market repurchases by the end of FY2025.
Kroger guided full-year identical sales without fuel to be between 2.7% and 3.4%, operating profit between $4.8 billion and $4.9 billion, earnings per share between $4.70 and $4.80, and an effective tax rate of 18.5%.
RH dropped 7.5% to $211.0 after the furniture retailer reported weaker-than-expected revenue in the fiscal second quarter ending on August 2.
Revenue rose 8.4% to $899.2 million from $829.7 million, net income soared 79% to $51.7 million from $28.95 million, and diluted earnings per share advanced to $2.62 from $1.45 a year ago.
The furniture retailer guided third-quarter revenue growth between 8% and 10% and adjusted operating margin of 12% and 13%; full-year revenue growth between 8% and 10%; and adjusted operating margin of 13% to 14%.
Super Micro Computer jumped 6.6% to $46.85, and the company confirmed the start of volume shipments of its custom servers with Nvidia Blackwell Ultra solutions to its worldwide customers.
Hooker Furniture Corporation decreased 1.21% to $10.60, and the furniture and home décor manufacturer reported a 68% rise in net loss in the latest quarter ending on August 3.
Consolidated revenue declined 13.6% to $82 million from $95.1 million, net loss advanced to $3.28 million from $1.95 million, and diluted losses per share expanded to 31 cents from 19 cents a year ago.
The Home Meridian segment’s net sales declined 44.5% to $13.6 million.
"About 40% of the decline came from the project-based hospitality business, where two large projects entered the shipping phase in the second quarter of last year, 35% of the decline came from traditional furniture channels due to macroeconomic pressures and tariff-related hesitancy, and 25% of the decline came from the loss of a major customer that filed for bankruptcy last year," the company said in a statement to investors.
During the second quarter, the company paid $5 million in dividends.
"We are on target for our new expense structure, which reduces our fixed costs by approximately 25%, largely to be in place by the end of the third quarter," said CEO Jeremy Hoff.
The company is struggling under high tariffs on lumber from Canada and 20% tariffs on furniture and upholstered products from Vietnam.
The company said it's multi-phase restructuring plan is set to achieve annual savings of $25 million starting fiscal 2027.