Group 1 - Citi and Coinbase are collaborating to develop digital asset payment services for institutional clients, aiming to connect traditional finance with crypto finance [1] - The initial phase will focus on enhancing fiat pay-ins and pay-outs, supporting Coinbase's on/off-ramps, and improving payment orchestration [1] - Future initiatives may explore alternative fiat-to-stablecoin payout methods and expand 24/7 access for Citi clients [1] Group 2 - Debopama Sen, Citi's head of payments and services, stated that the partnership aligns with Citi's "network of networks" strategy across 94 markets [2] - This collaboration extends Citi's efforts into 24/7 digital money solutions, building on existing services like Citi Token Services and USD Clearing [2] - Citi currently serves 90% of the top e-commerce firms and 15 of the world's 20 largest fintechs [2] Group 3 - Citi plans to offer crypto custody services by 2026, allowing the bank to hold native digital assets such as bitcoin and ether for clients [3] - At the time of publication, Citi shares were around $98.60, while Coinbase shares were at $318.50, reflecting a modest decline [3]

Group 1 - Citigroup is collaborating with Coinbase to develop digital asset payment capabilities for institutional clients [4] - The initial phase of the partnership aims to simplify the process for clients [4]

Core Insights - Citi and Coinbase are collaborating to enhance digital-asset payment capabilities for Citi's institutional clients, focusing on fiat pay-ins and payouts to bridge traditional finance with crypto [1][2] - The partnership aims to provide smoother money transfers and ensure 24/7 accessibility for Citi's clients, leveraging Citi's extensive payment clearing networks [2][3] - Citi is advancing its digital asset initiatives, with plans to launch crypto custody services by 2026, indicating a commitment to building infrastructure for future financial services [3][4] Group 1 - The collaboration between Citi and Coinbase is seen as a natural extension of Citi's "network of networks" approach, enhancing payment options for global clients [2] - The partnership is expected to simplify and expand access to digital asset payments, reflecting Coinbase's leadership in the digital asset space [3] - Citi's global head of partnerships and innovation has indicated that a credible custody solution for asset managers and other clients is anticipated in the coming quarters [4] Group 2 - Citi's equities analysts have recently given a "buy" rating to Bitcoin treasury strategy, contingent on Bitcoin meeting price projections [4] - The stock associated with this strategy presents significant risks, being closely tied to Bitcoin's price volatility, which could lead to magnified losses for shareholders [5]

Partnerships & Initiatives - Citigroup partnered with Coinbase to explore stablecoin-based cross-border payments for corporate clients [1] - The initiative aims to simplify crypto-fiat conversions and enable faster settlements [1] - Citi is considering launching on-chain stablecoin payments in the coming months [1] Market Focus - The initiative is designed to meet institutional demand for programmable and 24/7 transactions [1]

Market Performance - The three major US stock indices opened higher, with the Dow Jones up 0.56%, S&P 500 up 0.86%, and Nasdaq up 1.38%, all reaching new historical highs [1] - Major tech stocks saw significant gains, with Nvidia, Google A, and Tesla rising over 2%, while Microsoft, Amazon, Meta, Broadcom, and Apple increased by more than 1% [2] - Most large bank stocks also rose, with Barclays up over 2%, and Citigroup, UBS, and Morgan Stanley up over 1% [3] Economic Indicators - The upcoming "Super Central Bank Week" is anticipated, with the Federal Reserve's meeting scheduled for October 28-29, where a 25 basis point rate cut to the 3.75%-4% range is widely expected [3] - According to CME's FedWatch, the probability of a 25 basis point cut in October is 98.3%, while the chance of maintaining the current rate is only 1.7% [3] Chinese Market Insights - The Nasdaq Golden Dragon China Index surged over 2% in early trading [3] - Popular Chinese stocks mostly rose, with Baidu up over 5%, Vipshop up over 4%, and NIO, Xpeng, and JD.com up over 3% [6] Currency and Commodity Trends - The offshore RMB strengthened, rising over 200 basis points against the US dollar [8] - Gold prices experienced a significant drop, with London gold and COMEX gold both falling nearly 3%, and London gold dropping below $4000 per ounce [9] - Capital Economics has revised down its gold price forecast, expecting it to fall to $3500 per ounce by the end of 2026 [10] - However, Fidelity International remains bullish on gold, citing factors like Fed rate cuts and geopolitical risks as supportive for gold's performance [11]

Vi e w p o i n t | 24 Oct 2025 15:50:00 ET │ 13 pages US Equity Strategy Reluctant Bulls: Sentiment vs Positioning CITI'S TAKE Over the past couple of weeks, we have met with clients both in the US and the Australasia region. We have been struck by the nagging concerns related to valuation, bubbles, credit and macros (i.e. labor). Yet, allocations to US large cap equities appear steadfast. Thus, the notion of reluctant bulls strikes us as appropriate for describing current investor mindset. On the one hand, ...

Core Viewpoint - Lenskart Solutions Ltd. is set to raise up to ₹7,280 crore ($828 million) through its initial public offering (IPO) in Mumbai, reflecting a growing trend in India's market for new listings [1][2]. Company Overview - Lenskart, founded in 2010 by Peyush Bansal, is backed by notable investors including Abu Dhabi Investment Authority, KKR & Co., and TPG Inc. [4]. - The company raised $200 million in 2024, valuing it at $5 billion, with Fidelity subsequently increasing its internal valuation to $6.1 billion [4]. IPO Details - The IPO will offer shares priced between ₹382 and ₹402 each, with anchor investors able to bid starting October 30, and general subscriptions opening on October 31 until November 4 [1][2]. - Lenskart aims to raise ₹2,150 crore by issuing new shares, while existing investors will sell up to 127.6 million shares [2]. Market Context - Indian companies have raised nearly $16 billion through IPOs in 2025, compared to $21 billion in the previous year, indicating a robust IPO market [3]. - The current month is on track to be a record month for new listings in India, potentially leading to the best year ever for IPOs in 2025 [2]. Advisory and Support - The offering is being advised by Kotak Mahindra Capital Co., Axis Bank, Avendus Capital Pvt., Intensive Fiscal Services Pvt., and local units of Citigroup Inc. and Morgan Stanley [5].

23 Oct 2025 20:28:19 ET │ 9 pages China Economics China Export Tracker (25): Exports to the US Under Further Pressure? CITI'S TAKE We update our high-frequency trackers of Chinese exports up to October 22nd. China's containership departure for the US decelerated further as the two countries head into a new round of talks. Overall cargo volume picked only moderately, not enough to lift the month-to-date numbers to positive growth. With net exports still contributing 1.2ppts to headline growth of 4.8%YoY in 2 ...

Summary of Key Points from the Conference Call Industry Overview - **Focus on Global Asset Allocation**: The report discusses the outlook for various asset classes, including equities, bonds, commodities, and foreign exchange, with a particular emphasis on the US and China markets. Core Insights and Arguments - **US Economic Outlook**: Despite a lack of recent economic data due to the US government shutdown, investors remain optimistic about the US economy for 2026, with GDP consensus estimates rising to 1.8% for the US, 1.1% for Europe, and 4.2% for China [8][10] - **Equity Strategy**: The company maintains an overweight position in US and Chinese equities, driven by the AI theme and expected Fed cuts. The UK market is underweighted due to its defensive nature and lack of AI exposure [10][33] - **Sector Preferences**: Upgrades in consumer discretionary to neutral, with overweights in communications, financials, technology, and utilities, while underweighting consumer staples, materials, and real estate [2][39] - **Bond Market Positioning**: The company remains neutral on duration, favoring EM local bonds over Japanese government bonds (JGBs) due to the latter's expansionary fiscal risks [9][57] - **Credit Market Concerns**: The company is underweight in both US and EU investment-grade credit, viewing it as less likely to benefit from the AI boom and as a hedge against potential economic downturns [11][62] - **Commodity Strategy**: A shift from overweight precious metals to neutral, while increasing exposure to base metals, is noted. The expectation is for gold prices to consolidate around $4,000 [12][80] - **Foreign Exchange Positioning**: The company remains long on emerging market foreign exchange (EMFX) carry trades, indicating a preference for high-yielding currencies [3][13] Additional Important Insights - **Geopolitical Risks**: The report highlights ongoing geopolitical tensions, particularly between the US and China, which could impact market dynamics. The potential for negotiations around tariffs and export controls is discussed [18] - **Earnings Season Expectations**: High expectations for the upcoming earnings season are noted, with the potential for a year-end rally if results meet or exceed these expectations [20][23] - **Healthcare Sector**: The healthcare sector is under observation due to recent positive developments, although it remains neutral due to its defensive nature and lagging performance this year [46] - **Japan's Political Landscape**: The new leadership in Japan may lead to increased fiscal spending, which could positively impact Japanese equities, although the company remains cautious [27][57] This summary encapsulates the key points from the conference call, providing a comprehensive overview of the company's investment outlook and strategic positioning across various asset classes and sectors.

Summary of Key Points from Copper Expert Call with SMM Industry Overview - **Industry**: Copper Industry in China - **Date of Call**: October 23, 2025 - **Participants**: Mr. Ye Jianhua, Chief Copper Analyst at SMM Key Takeaways Copper Price Outlook - SMM indicates that the downstream sector is inclined to restock as copper prices in China have decreased to Rmb82-83k/t due to low inventory levels [1][2] - The average copper price is projected to be Rmb83.5-84k/t in 2026E, compared to Rmb80.5k/t in 2025E, which is considered conservative given the downstream pushback [1][2] - Spot prices could potentially reach approximately Rmb90k/t [1][2] Supply and Demand Dynamics - Global copper concentrate output is expected to increase by over 600kt YoY in 2026E [3] - China's copper cathode output is anticipated to rise by 1.3-1.35 million tonnes (mnt) YoY in 2025E and by 600-620kt in 2026E, with limited production cuts expected [3] - Both global copper cathode supply and consumption are projected to grow by 3-3.5% YoY in 2026E, despite tight supply conditions [3] Recycling Copper Policy - Crude copper capacity from scrap is primarily located in Jiangxi and Anhui provinces, affected by regulatory concerns [4] - The output impact from recycling copper products was estimated at 50-60kt in August and 20kt per month in September and October due to policy uncertainties [4] Consumption Trends in China - Copper consumption in China was weak in September and October 2025, particularly in the power segment and home appliances, attributed to high copper prices [5] - Negative YoY growth in copper consumption is expected for September-October 2025 due to a high base in Q4 2024 [5] International Market Dynamics - Overseas copper traders are showing willingness to purchase copper amid concerns over production cuts in international smelting capacity [5] - SMM expects continued shipments of copper to the US market due to the premium of Comex copper prices over LME [7] Additional Insights - The transition from aluminum to copper in power and home appliances is expected to be slow despite high copper prices, due to low fault tolerance [8] - Global copper demand from the data center industry is projected to reach 500-600kt in 2025E, with an increase of 250-300kt YoY in subsequent years [9] Conclusion The copper industry in China is experiencing a complex interplay of price dynamics, supply and demand shifts, and regulatory impacts. The outlook suggests cautious optimism with potential price increases, but challenges remain in consumption and recycling policies.