The Fed held FOMC meeting on September 25th and 26th and decided to raise short-term interest rates by 0.25%. After the FOMC meeting, Federal Reserve Board members and Federal Reserve Bank presidents released Summary of Economic Projections, which showed the same FFR projection as last time.
So-called “Dow Theory” teaches that different parts of the market can confirm each other. This is especially true with economically sensitive transportation companies because they often track the business cycle.
The market had mixed reactions to the announcements, as Amcor shares dropped just over 6% coming out of its trading halt. However, the fact is, it makes far more sense for Amcor to be listed in the US than Australia. The company makes approximately 85% of its revenue from the Americas, Europe and Middle East markets. Additionally, Amcor reports its earnings in US dollars, and the acquisition of Bemis will provide greater exposure to the U.S. market.
His Communist Party is currently tabling constitutional reform to extend term limits. If they succeed, his presidency could stretch beyond 2023, and this is important because one of his biggest initiatives is ‘Made in China 2025’. It aims to strengthen the hold of technology in China. A large part of the world’s electronic components and gadgets are assembled in China, because of their high technical skills and low labour costs.