HSBC declares $3 billion share buyback after second-quarter revenue plunges 29%, lacking expectations
Europe’s largest lender HSBC on Wednesday missed second-quarter revenue expectations, totally on account of impairment fees, in keeping with the financial institution. The financial institution additionally introduced a share buyback of $3 billion.
It reported revenue earlier than tax for the three months ended June of $6.3 billion, down 29% from a yr in the past.
Listed below are HSBC’s second-quarter 2025 outcomes in contrast with consensus estimates compiled by the financial institution.
- Revenue earlier than tax: $6.3 billion vs. $6.99 billion
- Income: $16.5 billion vs. $16.67 billion
Working bills rose by 10% in comparison with the identical interval a yr in the past, and have been largely owed to restructuring and different associated prices in addition to from elevated spending and funding in know-how, the financial institution stated.
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—Lee Ying Shan
Shoppers and buyers are dissatisfied with Li Auto’s new mannequin, say specialists
Li Auto’s shares plunging over 11% Wednesday is a mirrored image that customers and buyers are dissatisfied with the brand new fashions, business specialists informed CNBC.
“The market response displays disappointment with the Li MEGA and now the Li L8 six-seat battery EV launches,” stated Invoice Russo, the founder and CEO of Automobility. Buyers are questioning the corporate’s product technique and timing, significantly because the pure battery electrical phase is turning into extremely aggressive and price-sensitive, he added.
Shoppers may be dissatisfied that the low-end i8 variant doesn’t have options typical of Li Auto automobiles like in-car fridge and enormous cinema show, stated Eugene Hsiao, head of China fairness technique at Macquarie.
Hanyang Wang, an analyst at 86 Analysis, famous that Li Auto’s lack of disclosure of order quantity following the launch of the i8 might have additionally raised buyers’ issues about inadequate demand for the mannequin.
“We suppose the underwhelming order efficiency of the i8 will put gross sales stress on Li Auto,” he informed CNBC.
— Lee Ying Shan
Li Auto shares plunge over 11% after debuting six-seat electrical SUV
Shares of Chinese language electrical automobile producer Li Auto fell over 11% after it launched a six-seat electrical automobile.
The Li i8 is out there in three variants — Professional, Max, and Extremely — priced at RMB321,800 ($44,838) RMB349,800, and RMB369,800, respectively. Buyer deliveries are set to start on Aug. 20, 2025.
—Lee Ying Shan
Australia’s second-quarter inflation drops to lowest since March 2021, supporting case for price reduce
Australia’s headline inflation price within the second quarter of the yr slipped to its lowest level since March 2021, coming in at 2.1% yr over yr, in comparison with 2.4% within the previous interval.
This was decrease than the two.2% anticipated by economists polled by Reuters, and is nearly touching the decrease band of the two%-3% goal set by the Reserve Financial institution of Australia.
On a quarter-over-quarter foundation, inflation slowed to 0.7%, in comparison with 0.8% anticipated within the Reuters ballot and 0.9% within the first quarter.
The Australian Bureau of Statistics revealed that probably the most important worth rises within the quarter have been seen in housing, meals and non-alcoholic drinks and well being, though a fall in transport prices partially offset the rise.
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— Lim Hui Jie
U.S.-China commerce talks finish with out extension of tariff truce, as Trump weighs choices
A possible extension of a tariff pause between america and China is not going to be agreed to till President Donald Trump indicators off on the plan, U.S. negotiators stated Tuesday.
Trump “has last say on all of the commerce offers” and the pending tariff truce, Treasury Secretary Scott Bessent informed CNBC’s Eamon Javers.
The remarks got here after prime commerce officers for the 2 international locations concluded talks in Stockholm, Sweden, their third spherical of high-level discussions since Could.
“We will head again to Washington, D.C. We will speak to the president about whether or not that is one thing that he needs so do,” U.S. Commerce Consultant Jamieson Greer informed reporters following the talks.
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— Kevin Breuninger
Singapore holds financial coverage, flags slowdown in second half of the yr
Singapore’s central financial institution warned that the city-state’s economic system is “projected to reasonable within the second half of 2025 from its sturdy tempo in [the first half],” because it saved its financial coverage unchanged.
The Financial Authority of Singapore stated it might maintain the width and stage at which its coverage band is centered amid commerce issues from the Trump administration.
“Specifically, the trade-related sectors ought to see some pullback,” the central financial institution stated in its financial coverage assertion on Wednesday.
“Prospects for the Singapore economic system stay topic to important uncertainty, particularly in 2026. Modifications in efficient tariff charges worldwide might affect the efficiency of Singapore’s externally-oriented sectors,” MAS added.
Monetary volatility and geopolitical shocks might deepen the affect of the worldwide slowdown and add stress on Singapore’s development outlook, MAS stated.
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— Lim Hui Jie
Asia-Pacific markets open blended as U.S.-China commerce truce hangs in a limbo
Asia markets began the buying and selling day blended.
Japan’s benchmark Nikkei 225 was flat on the open, whereas the Topix inched increased 0.1%.
South Korea’s Kospi gained 0.48%, and the small-cap Kosdaq rose 0.42%.
Australia’s S&P/ASX 200 misplaced 0.19%.
— Lee Ying Shan
Opening calls
Joyful mid-week from Singapore. Asia markets are poised for a decrease open.
Futures for Hong Kong’s Hold Seng Index stood at 25,344, pointing to a weaker open in contrast with the HSI’s final shut of 25,524.45
Equally, Australia’s S&P/ASX 200 was set to start out the day decrease with futures tied to the benchmark at 8,662, in contrast with its final shut of 8,704.6.
Japan’s benchmark Nikkei 225 was set to open decrease, with the futures contract in Osaka final traded at 40,650 towards the index’s final shut of 40,674.55.
— Lee Ying Shan
Shares shut decrease on Tuesday
Shares closed decrease on Tuesday, as buyers flip their consideration to the Federal Reserve’s rate of interest choice.
The S&P 500 slipped 0.30% to shut at 6,370.86, whereas the Nasdaq Composite misplaced 0.38% to 21,098.29. The Dow Jones Industrial Common slipped 204.57 factors, or 0.46%, to complete the session at 44,632.99.
— Brian Evans
Tariffs will nonetheless deal a blow to financial development regardless of current progress, says UBS
Buyers ought to stay vigilant and never look previous the potential dangers of tariffs, in keeping with UBS.
“The affect of tariffs cannot be neglected regardless that current offers have offered larger readability. Whereas the 15% tariff price on most EU and Japanese items was decrease than earlier threats from the U.S., the upper levies will nonetheless create headwinds for development,” stated Ulrike Hoffmann-Burchardi, chief funding officer for the Americas and international head of equities at UBS International Wealth Administration.
“Whereas our base case is that the resilience of the US client ought to assist the U.S. economic system keep away from recession, a larger-than-expected affect on inflation or extra extreme hit to company margins might shortly change the present optimistic market narrative,” she added.
— Brian Evans
