China Markets MONDAY

Investors remained on the defensive at the start of the new week, amid weak global market sentiment. 

The Hang Seng Index eased 0.8%, and the mainland-focused CSI 300 index fell 0.7% as investors reviewed the latest economic data released last week.

Market sentiment was weak for the third session in a row after China's retail sales, industrial production and jobless rate data confirmed the ongoing weakening economic growth outlook. 

Despite market's caution, China's GDP growth is set to hit the annual target rate of 5%, but the economic expansion is less likely to create enough new jobs for recent graduates.

Moreover, businesses are facing sharply lower profit margins amid intense competition and chaotic U.S. trade policy.  

So far, companies have delivered mixed corporate earnings as mid- and small-sized corporations struggle with profit growth and falling margins in the export-driven sales.  

The U.S. government is set to release the first batch of economic data on Thursday, and resume data flow after the ending of the longest government shutdown ended last Wednesday.

The September's nonfarm payrolls are likely to confirm rapidly deteriorating labor market conditions as businesses avoid hiring amid constantly changing U.S. trade policy and weakening consumer confidence.

China Indexes and Stocks 

The Hang Seng Index decreased 0.8% to 26,358.43, and the CSI 300 index dropped 0.7% to 4,595.12. 

Alibaba Group Holding decreased 0.5% to $154.20, and the  e-commerce company released its own revamped chatbot. 

Pop Mart International Group decreased 0.3% to HK $217.0, and several local reports suggested that Sony Pictures plans to make a film featuring the company's popular Labubu dolls.  

U.S. Movers: Applied Materials, StubHub, Walt Disney

Applied Materials dropped 5% to $211.74 despite the semiconductor equipment maker reporting better-than-expected fiscal fourth-quarter results. 

Revenue decreased 3% to $6.8 billion from $7.05 billion, net income rose 10% to $1.9 billion from $1.8 billion, and diluted earnings per share rose 14% to $2.38 from $2.09 a year ago. 

The company estimated fiscal first quarter revenue of $6.8 billion with a band of plus or minus $500 million and non-GAAP diluted earnings per share of $2.18 with a band of plus or minus 20 cents.  

StubHub Holdings plunged 19.3% to $15.22 despite the company reporting better-than-expected results in the third quarter. 

Revenue increased 8% to $468.1 million from $433.8 million, net income expanded to $1.3 billion from $45.9 million, and diluted loss per share expanded to $4.27 from a loss of 15 cents.

Gross merchandise sales rose 11% to $2.4 billion and advanced 24% excluding the impact of Taylor Swift's "Eras" tour. 

Net loss of $1.3 billion, reflecting a one-time stock-based compensation charge of $1.4 billion related to the company’s initial public offering, representing the GAAP-required recognition of multiple years of stock-based compensation to employees. 

The ticketing company listed its stock on the New York Stock Exchange in September and, together with Series O preferred equity, raised approximately one billion in gross proceeds. 

StubHub stock came under heavy pressure after the company's chief executive said during a conference call that the company will not be issuing a forward-looking guidance for the current quarter. 

Walt Disney Company decreased 7.7% to $107.61, and the streaming media and theme park operator reported mixed quarterly results. 

Revenue in the third quarter was flat at $22.5 billion, net income increased to $1.3 billion from $460 million, and diluted earnings per share soared to 73 cents from 25 cents a year ago. 

The Entertainment segment revenue decreased 6% to $10.2 billion, Sports increased 2% to $4 billion from $3.9 billion, and the Experiences segment advanced 6% to $8.8 billion from $8.2 billion a year ago, respectively. 

The company's board declared a cash dividend of $1.50 per share, payable in two installments of $0.75 per share, payable on January 15, 2026, to shareholders on record on December 15, 2025, and on July 22, 2026, to shareholders on record on June 30, 2026.

U.S. Movers: Applied Materials, StubHub, Walt Disney

Applied Materials dropped 5% to $211.74 despite the semiconductor equipment maker reporting better-than-expected fiscal fourth-quarter results. 

Revenue decreased 3% to $6.8 billion from $7.05 billion, net income rose 10% to $1.9 billion from $1.8 billion, and diluted earnings per share rose 14% to $2.38 from $2.09 a year ago. 

The company estimated fiscal first quarter revenue of $6.8 billion with a band of plus or minus $500 million and non-GAAP diluted earnings per share of $2.18 with a band of plus or minus 20 cents.  

StubHub Holdings plunged 19.3% to $15.22 despite the company reporting better-than-expected results in the third quarter. 

Revenue increased 8% to $468.1 million from $433.8 million, net income expanded to $1.3 billion from $45.9 million, and diluted loss per share expanded to $4.27 from a loss of 15 cents.

Gross merchandise sales rose 11% to $2.4 billion and advanced 24% excluding the impact of Taylor Swift's "Eras" tour. 

Net loss of $1.3 billion, reflecting a one-time stock-based compensation charge of $1.4 billion related to the company’s initial public offering, representing the GAAP-required recognition of multiple years of stock-based compensation to employees. 

The ticketing company listed its stock on the New York Stock Exchange in September and, together with Series O preferred equity, raised approximately one billion in gross proceeds. 

StubHub stock came under heavy pressure after the company's chief executive said during a conference call that the company will not be issuing a forward-looking guidance for the current quarter. 

Walt Disney Company decreased 7.7% to $107.61, and the streaming media and theme park operator reported mixed quarterly results. 

Revenue in the third quarter was flat at $22.5 billion, net income increased to $1.3 billion from $460 million, and diluted earnings per share soared to 73 cents from 25 cents a year ago. 

The Entertainment segment revenue decreased 6% to $10.2 billion, Sports increased 2% to $4 billion from $3.9 billion, and the Experiences segment advanced 6% to $8.8 billion from $8.2 billion a year ago, respectively. 

The company's board declared a cash dividend of $1.50 per share, payable in two installments of $0.75 per share, payable on January 15, 2026, to shareholders on record on December 15, 2025, and on July 22, 2026, to shareholders on record on June 30, 2026.

AI-Trade Unwinding Extended to Second Week On Wall Street

In Friday's trading stocks lacked direction on Wall Street, as investors recalibrated risk appetite amid stretched AI valuations. 

The S&P 500 index edged up 0.1%, and the tech-heavy Nasdaq Composite decreased 0.1% following sharp losses in the previous session.

AI-linked stocks extended losses this week, after benchmark indexes registered losses between 1.7% and 2.3% amid interest rate uncertainty. 

Investors dialed down rate-cut expectations following the last two-day policy meeting of 2025, ending on December 10.  

Nvidia, Broadcom, Alphabet, and Oracle extended this week's losses amid worries about the sustainability of AI capex and rising debt levels and heavy client concentration. 

Broader market indexes are set to close higher this week despite elevated choppiness and growing anxieties about circular AI trade. 

U.S. Movers 

Applied Materials dropped 5% to $211.74 despite the semiconductor equipment maker reporting better-than-expected fiscal fourth-quarter results. 

Revenue decreased 3% to $6.8 billion from $7.05 billion, net income rose 10% to $1.9 billion from $1.8 billion, and diluted earnings per share rose 14% to $2.38 from $2.09 a year ago. 

The company estimated fiscal first quarter revenue of $6.8 billion with a band of plus or minus $500 million and non-GAAP diluted earnings per share of $2.18 with a band of plus or minus 20 cents.  

StubHub Holdings plunged 19.3% to $15.22 despite the company reporting better-than-expected results in the third quarter. 

Revenue increased 8% to $468.1 million from $433.8 million, net income expanded to $1.3 billion from $45.9 million, and diluted loss per share expanded to $4.27 from a loss of 15 cents.

Gross merchandise sales rose 11% to $2.4 billion and advanced 24% excluding the impact of Taylor Swift's "Eras" tour. 

Net loss of $1.3 billion, reflecting a one-time stock-based compensation charge of $1.4 billion related to the company’s initial public offering, representing the GAAP-required recognition of multiple years of stock-based compensation to employees. 

The ticketing company listed its stock on the New York Stock Exchange in September and, together with Series O preferred equity, raised approximately one billion in gross proceeds. 

StubHub stock came under heavy pressure after the company's chief executive said during a conference call that the company will not be issuing a forward-looking guidance for the current quarter. 

Walt Disney Company decreased 7.7% to $107.61, and the streaming media and theme park operator reported mixed quarterly results. 

Revenue in the third quarter was flat at $22.5 billion, net income increased to $1.3 billion from $460 million, and diluted earnings per share soared to 73 cents from 25 cents a year ago. 

The Entertainment segment revenue decreased 6% to $10.2 billion, Sports increased 2% to $4 billion from $3.9 billion, and the Experiences segment advanced 6% to $8.8 billion from $8.2 billion a year ago, respectively. 

The company's board declared a cash dividend of $1.50 per share, payable in two installments of $0.75 per share, payable on January 15, 2026, to shareholders on record on December 15, 2025, and on July 22, 2026, to shareholders on record on June 30, 2026.

AI-Trade Unwinding Extended to Second Week On Wall Street

In Friday's trading stocks lacked direction on Wall Street, as investors recalibrated risk appetite amid stretched AI valuations. 

The S&P 500 index edged up 0.1%, and the tech-heavy Nasdaq Composite decreased 0.1% following sharp losses in the previous session.

AI-linked stocks extended losses this week, after benchmark indexes registered losses between 1.7% and 2.3% amid interest rate uncertainty. 

Investors dialed down rate-cut expectations following the last two-day policy meeting of 2025, ending on December 10.  

Nvidia, Broadcom, Alphabet, and Oracle extended this week's losses amid worries about the sustainability of AI capex and rising debt levels and heavy client concentration. 

Broader market indexes are set to close higher this week despite elevated choppiness and growing anxieties about circular AI trade. 

U.S. Movers 

Applied Materials dropped 5% to $211.74 despite the semiconductor equipment maker reporting better-than-expected fiscal fourth-quarter results. 

Revenue decreased 3% to $6.8 billion from $7.05 billion, net income rose 10% to $1.9 billion from $1.8 billion, and diluted earnings per share rose 14% to $2.38 from $2.09 a year ago. 

The company estimated fiscal first quarter revenue of $6.8 billion with a band of plus or minus $500 million and non-GAAP diluted earnings per share of $2.18 with a band of plus or minus 20 cents.  

StubHub Holdings plunged 19.3% to $15.22 despite the company reporting better-than-expected results in the third quarter. 

Revenue increased 8% to $468.1 million from $433.8 million, net income expanded to $1.3 billion from $45.9 million, and diluted loss per share expanded to $4.27 from a loss of 15 cents.

Gross merchandise sales rose 11% to $2.4 billion and advanced 24% excluding the impact of Taylor Swift's "Eras" tour. 

Net loss of $1.3 billion, reflecting a one-time stock-based compensation charge of $1.4 billion related to the company’s initial public offering, representing the GAAP-required recognition of multiple years of stock-based compensation to employees. 

The ticketing company listed its stock on the New York Stock Exchange in September and, together with Series O preferred equity, raised approximately one billion in gross proceeds. 

StubHub stock came under heavy pressure after the company's chief executive said during a conference call that the company will not be issuing a forward-looking guidance for the current quarter. 

Walt Disney Company decreased 7.7% to $107.61, and the streaming media and theme park operator reported mixed quarterly results. 

Revenue in the third quarter was flat at $22.5 billion, net income increased to $1.3 billion from $460 million, and diluted earnings per share soared to 73 cents from 25 cents a year ago. 

The Entertainment segment revenue decreased 6% to $10.2 billion, Sports increased 2% to $4 billion from $3.9 billion, and the Experiences segment advanced 6% to $8.8 billion from $8.2 billion a year ago, respectively. 

The company's board declared a cash dividend of $1.50 per share, payable in two installments of $0.75 per share, payable on January 15, 2026, to shareholders on record on December 15, 2025, and on July 22, 2026, to shareholders on record on June 30, 2026.