Group 1 - Harding Loevner's Global Equity Strategy reported a gross return of 2.62% and a net return of 2.52% for Q3 2025, underperforming the MSCI All Country World Index and MSCI World Index, which returned 7.74% and 7.36% respectively [1] - Year-to-date, the strategy rose 10.61% net, compared to 18.86% for the MSCI All Country World Index and 17.83% for the MSCI World Index [1] - The last six months have been characterized as one of the strongest momentum phases in over 70 years, with high-momentum stocks outperforming low-momentum stocks by 45 percentage points, largely driven by advancements in AI [1] Group 2 - Oracle Corporation (NYSE:ORCL) was highlighted in the investor letter, with a one-month return of -10.42% and a 52-week gain of 11.81% [2] - As of December 4, 2025, Oracle's stock closed at $214.33 per share, with a market capitalization of $611.01 billion [2] - The investor letter noted that AI represents a significant secular change that could reshape industries, creating uncertainty in the markets, and that historical company fundamentals may be less reliable for long-term value [3]

Core Viewpoint - The financial sector is increasingly utilizing credit derivatives to manage exposure to risks associated with significant investments in technology, particularly in artificial intelligence and data centers. Group 1: Credit Derivatives and Risk Management - Trading of Oracle's credit default swaps surged to approximately $8 billion over nine weeks ending November 28, a significant increase from around $350 million during the same period last year [1] - The cost of protecting Oracle Corp. debt against default using derivatives has reached its highest level since the Global Financial Crisis, indicating heightened risk perception [5] - Banks are exploring various tools, including credit derivatives and sophisticated bonds, to transfer the risk associated with underwriting the AI boom to other investors [3] Group 2: Debt Market Dynamics - Global bond issuance has exceeded $6.46 trillion in 2025, driven by substantial offerings from major tech companies like Oracle, Meta, and Alphabet, which are expected to invest at least $5 trillion in infrastructure [4] - The urgency for banks to mitigate risk is evident in the credit markets, as they provide large construction loans for data centers, including a $38 billion loan package and an $18 billion loan for new facilities [7] - The size of recent debt offerings has escalated, with $30 billion raised for Meta in a single day, reflecting the growing scale of financing needs among hyperscalers [19] Group 3: Investment Opportunities - There are notable opportunities in selling protection on Microsoft and other tech companies, as their credit default swaps are trading at high spreads relative to their risk of default [11] - Morgan Stanley is considering significant risk transfer transactions to offload some of its exposure related to AI infrastructure loans, which could provide default protection for a portion of its loan portfolio [12][13] - Private capital firms are also looking to acquire banks' exposure in significant risk transfers tied to data centers, indicating a broader interest in managing tech-related credit risk [14]

Report Information - The report is from Fubon Securities (Asia) and focuses on bond market information, with the date of December 2, 2025 [1] Key Information of Top 20 Active Bonds Oracle Corporation - Two bonds with coupon rates of 5.2% and 6.25%, issuance dates of September 24, 2025, and November 7, 2022, respectively, and maturities in 2035 and 2032. Another bond with a 3.25% coupon was issued on November 7, 2017, and matures in 2027. Market prices range from 97.494 - 98.096, 105.539 - 106.123, and 97.641 - 98.203. YTMs are 5.45%, 5.19%, and 4.22%, respectively. Issuance volumes are 4 billion, 2.25 billion, and 2.75 billion USD [4] Raytheon Technologies Corporation - A bond with a 5.75% coupon, issued on November 6, 2023, matures on November 8, 2026. Market price is 101.196 - 101.748, YTM is 3.82%, and issuance volume is 1.25 billion USD [4] Standard Chartered Group Limited - A perpetual bond with a 7% coupon, issued on November 4, 2025, with the next call date on November 14, 2035. Market price is 101.888 - 102.821, YTM is 7.33%, and issuance volume is 1 billion USD [4] Bangkok Bank Public Company Limited/Hong Kong - Two bonds with coupon rates of 5.082% and 4.507%, issued on November 19, 2025, maturing in 2035 and 2030. Market prices are 99.79 - 100.358 and 99.915 - 100.473. YTMs are 5.04% and 4.4%, respectively. Issuance volumes are 600 million and 500 million USD [4] HSBC Holdings plc - A bond with a 5.133% coupon, issued on October 30, 2025, matures on November 6, 2036. Market price is 100.138 - 100.704, YTM is 5.1%, and issuance volume is 2.25 billion USD [4] Amazon.com, Inc. - Two bonds with coupon rates of 4.65% and 4.35%, issued on November 17, 2025, maturing in 2035 and 2033. Market prices are 100.202 - 100.768 and 100.025 - 100.581. YTMs are 4.55% and 4.26%, respectively. Issuance volumes are 3.5 billion and 1.5 billion USD [4] Meta Platforms, Inc. - Two bonds with coupon rates of 4.6% and 4.875%, issued on October 30, 2025, maturing in 2032 and 2035. Market prices are 100.832 - 101.384 and 100.384 - 100.959. YTMs are 4.37% and 4.75%, respectively. Issuance volumes are 4 billion and 6.5 billion USD [4] Alphabet Inc. - A bond with a 4.7% coupon, issued on November 3, 2025, matures on November 15, 2035. Market price is 100.904 - 101.483, YTM is 4.51%, and issuance volume is 3.5 billion USD [4] Goldman Sachs Group, Inc. - A bond with a 3.5% coupon, issued on November 10, 2016, matures on November 16, 2026. Market price is 99.243 - 99.831, YTM is 3.68%, and issuance volume is 2.75 billion USD [4] Visa Inc. - A bond with a 4.15% coupon, issued on December 9, 2015, matures on December 14, 2035. Market price is 96.842 - 97.443, YTM is 4.47%, and issuance volume is 1.5 billion USD [4] Lloyds Banking Group plc - A perpetual bond with a 6.625% coupon, issued on October 27, 2025, with the next call date on September 27, 2035. Market price is 98.952 - 99.822, YTM is 7.35%, and issuance volume is 1 billion USD [4] Sumitomo Mitsui Aviation Capital Finance - A bond with a 5.25% coupon, issued on November 19, 2025, matures on November 26, 2035. Market price is 99.741 - 100.333, YTM is 5.21%, and issuance volume is 750 million USD [4] First Abu Dhabi Bank PJSC - A perpetual bond with a 5.875% coupon, issued on November 20, 2025, with the next call date on May 28, 2031. Market price is 100.494 - 101.237, YTM is 6.67%, and issuance volume is 1 billion USD [4] Vale Overseas Limited - A bond with a 6% coupon, issued on November 18, 2025, matures in 2056. Market price is 99.329 - 99.999, YTM is 7.15%, and issuance volume is 750 million USD [4] SoftBank Group Corp. - A perpetual bond with a 6.875% coupon, issued on July 12, 2017, with the next call date on July 19, 2027. Market price is 97.411 - 98.393, YTM is 9.09%, and issuance volume is 1.75 billion USD [4]

Group 1: Market Performance - The three major US stock indices closed mixed, with the Dow Jones down 0.07%, the Nasdaq up 0.22%, and the S&P 500 up 0.11% [1] - Large tech stocks showed mixed performance, with Meta and Oracle rising over 3%, Nvidia up over 2%, and Intel down over 7% [1] - The Nasdaq Golden Dragon China Index rose 0.39%, with notable gains from stocks like Wanwu Xingsheng up 8.96% and Dingdong Maicai up 6.56% [1] Group 2: Macroeconomic Insights - The Director of the White House National Economic Council, Hassett, indicated a potential interest rate cut of about 25 basis points at the next Federal Reserve meeting [2] - This statement may impact global liquidity expectations and should be monitored for its potential transmission effects on the A-share market risk appetite [3] Group 3: Commodity and Currency Markets - WTI crude oil surpassed $60 per barrel, increasing by 1.79% [4] - Gold prices fluctuated, breaking above $4250 per ounce and then dropping to $4240 per ounce, with a daily change of 0.42% and -0.09% respectively [4] - The British pound against the US dollar reached its highest level since October 24, rising 0.2% to $1.3373 [5] Group 4: Company Developments - Meta (formerly Facebook) plans to implement budget cuts of up to 30% for its metaverse division, affecting products like Meta Horizon Worlds and the Quest VR business line, with potential layoffs starting as early as January [6][11] - Following this news, Meta's stock rose over 5% in pre-market trading [12]

Group 1: US Stock Market Performance - The US stock market showed mixed results with the Dow Jones down 0.07%, Nasdaq up 0.22%, and S&P 500 up 0.11% [1][12] - Technology stocks had a varied performance, with Meta and Oracle rising over 3%, while Intel fell over 7% [1][12] - Snowflake's stock dropped 8.3% due to disappointing profit margin outlook, while UiPath surged 7.5% after exceeding Q3 expectations [1][12] Group 2: Individual Company Developments - Meta's CEO announced plans to cut up to 30% of investments in the metaverse-related business, leading to a pre-market rise of over 5% [1][12] - Dollar General raised its full-year earnings guidance, resulting in a 5.6% increase in its stock price [1][12] - Tiger Brokers reported record high Q3 revenue and non-GAAP net profit, with a pre-market surge of 9.2% [1][12] Group 3: Commodity and Cryptocurrency Markets - WTI crude oil prices surpassed $60 per barrel, increasing by 1.79% [3][14] - Bitcoin fell below $92,000, with a daily decline of 2.62% [3][14] - Gold prices fluctuated significantly, breaking through $4,250 per ounce before dropping to $4,240 [2][13] Group 4: Forex and Economic Policy - The British pound reached its highest level against the US dollar since October 24, rising 0.2% to $1.3373 [4][15] - The White House's economic advisor indicated a potential 25 basis point rate cut at the next Federal Reserve meeting [4][15] Group 5: Domestic Market Developments - Taobao's flash sale platform announced voluntary compliance with national standards for food delivery services, aiming to enhance service quality and consumer experience [10][21][22]

Oracle (ORCL) has been looking to break into the AI big leagues for years, and Wells Fargo’s latest note just gave it an endorsement that effectively flips the narrative. The ‘Big 4’ bank slapped an Overweight rating along with a $280 price target on the stock, pointing to a massive 35% upside from its current price. The big reason behind the upgrade, analyst Michael Turrin argues, is that Oracle sits on nearly $500 billion in AI infrastructure deals from OpenAI, xAI, Meta, and TikTok. 💵💰Don't miss the m ...

Hello and welcome to Market Domination. I'm Josh Lipton live from our New York headquarters. And just an hour to go now until the closing bell and stocks are mixed.The NASDAQ covering just above the flat line. Well, let's welcome in now Jared Blickery joining us to break down the headlines. Jared, what are you seeing in the markets. As you said, the markets are mixed.But if I show you what's going on today, you're going to say, "Well, that's a lot of chop." And this is the Dow down about 16 basis points or ...

Legacy software stocks can seem boring to growth hunters, but their cash-rich businesses and strategic pivots often produce big payoff moments. Wells Fargo just made that case for Oracle (ORCL), initiating coverage at “Overweight” after tallying nearly $500 billion in AI-related deals with partners such as OpenAI, xAI, Meta (META), and TikTok. The bank projects Oracle Cloud Infrastructure (OCI) could expand to roughly 16% of the cloud market by 2029, up from about 5% in 2025. The projection is driven by m ...

Core Insights - Oracle has shown significant historical price increases, with notable growth of over 50% in just two months in 2025 and multiple instances of over 30% rises in short periods, indicating potential for substantial shareholder rewards if similar conditions arise again [2] - The company's strategic shift towards AI and cloud technologies has driven substantial growth in 2025, although it is currently experiencing a temporary decline from recent peaks; investments from generative AI leaders like OpenAI could lead to a new growth wave [3] Financial Performance - Oracle's financials appear weaker due to a lack of recent revenue growth, minimal cash generation, and an undefined valuation measure, raising concerns about the stock's performance during market declines [5] - Revenue growth stands at 9.7% for the last twelve months (LTM) and 10.2% for the last three-year average, while the company has a nearly -10.0% free cash flow margin and a 31.6% operating margin LTM [10] Growth Potential - Oracle Cloud Infrastructure (OCI) is projected to achieve over 70% growth in FY26, supported by a $455 billion AI backlog, which is expected to significantly enhance its cloud market share by 2029 [10] - The introduction of Oracle Health's new AI-integrated, cloud-native EHR in 2025 aims to improve interoperability and re-establish the company in the healthcare market [10] - OCI's "open-by-design" strategy with Azure and Google Cloud facilitates data integration and reduces vendor lock-in, promoting the adoption of enterprise cloud and AI technologies [10] Risk Assessment - Historical data indicates that Oracle is not immune to market downturns, having experienced declines of approximately 77% during the Dot-Com Bubble, 41% during the Global Financial Crisis, and similar drops during other market corrections [6]

Core Insights - Oracle has historically shown significant price increases, with notable growth of over 50% in 2025 within two months and seven instances of over 30% rises in less than two months, particularly in 2011 and 2024 [2] - The company's shift towards AI and cloud technologies has driven substantial growth in 2025, although it is currently experiencing a temporary decline from recent peaks [3] Factors That Could Elevate The Stock - Oracle Cloud Infrastructure (OCI) is projected to achieve over 70% growth in FY26, supported by a $455 billion AI backlog, which includes partnerships with OpenAI [11] - The introduction of Oracle Health's new AI-integrated, cloud-native EHR in 2025 aims to enhance interoperability and re-enter the healthcare market [11] - OCI's "open-by-design" strategy with Azure and Google Cloud facilitates data integration, reducing vendor lock-in and accelerating the adoption of enterprise cloud and AI technologies [11] Current Financial Metrics - Revenue growth stands at 9.7% for the last twelve months (LTM) and an average of 10.2% over the last three years [11] - The company has a free cash flow margin of nearly -10.0% and an operating margin of 31.6% LTM [11] - Oracle stock is currently trading at a price-to-earnings (P/E) multiple of 49.7 [11]