Financial News & Insights for Investors & Traders; Virgin Money & Disney surge, Coal stocks lift, Markets brace for more Fed speak

Jessica Amir
Market Strategist

Summary:  Eight Minute Daily Dose of Financial Insights for Investors and Traders; covering what to watch today, what could move markets ahead. Plus, the latest from these six companies; Tesla, Disney, Virgin Money, SQM, and Whitehaven Coal.

What you need to know about markets now

The major US indices closed in the red on Monday

Investors are concerned China may tighten Covid restrictions with one region near Beijing (Shijiazhuang) suspending schools, locking down universities and asking residents to stay at home for five days, after cases spiked back to April levels. While investors are also weighing up Fed speakers commentary with Mary Daly saying the Fed will need to be mindful of the lags of rate hikes, while on the other hand she said too much tightening could be “unnecessarily painful” for the economy. However, investors are nervously hanging on the edge of their seats for more Fed speeches on Tuesday and FOMC minutes released on Wednesday, which could provide more hints on how high US rates may go and could likely cause volatility and may stoke fear selling into markets, like we saw last week. As such, the Nasdaq 100 fell 1.1%, while the S&P 500 losing 0.4%. As for big moves in US markets; the biggest loser by market value was Tesla (TSLA) shedding 6.8% after recalling vehicles and anxiety about production and sales falling amid China lockdown.  On the upside, Disney (DIS) rose 6.3% after the former CEO who spent more than four decades at Disney was re-hired at CEO.

The Australian share market opens 0.6% up on Tuesday. Lithium, fertilizers, coal and banking stocks shine

Lithium company Pilbara Minerals (PLS) trades 4% higher and Allkem (AKE) also up about 3% with sentiment in the lithium sector buoyed after lithium giant SQM shares rose almost 10% in NY on announcing a US$3.08 dividend per share following their optimistic update last week. SQM also operates in fertizliers as well, so ASX fertilizers companies are seeing a sentiment uptick with Incitec Pivot (IPL) are trading higher. Coal companies such as Whitehaven (WHC) and New Hope (NHC) also are trading sharply higher with large block trades coming through with traders expecting higher prices for coal in January.  Also in commodities, it’s worth watching copper company Oz
Minerals (OZL) as options trading volume increased dramatically after BHP increased their takeover offer for company. Yesterday OZL options volume was almost 7 times the 20-day average, with 5,000 calls and zero puts, meaning the market expects a higher price for OZL. In banking Virgin Money (VUK), trades up 13% today after the London listed stock rose 15%. Virgin reported stronger than expected profits for the year to Sept. 30 and upgraded its outlook on Monday, saying it expects its net interest margin to expand in the medium term. Virgin Money’s Slyce, a buy-now-pay-later product that launched earlier this year, had a waitlist of about 40,000. So optimism is in the air the business could be turning around. 

In Asia

Hong Kong’s Hang Seng and China’s CSI300 are likely to have a negative day of trade, with according to the futures with investor worried more lockdown downs will rattle markets

In commodities Oil is a focus

Oil is again in focus after the WSJ reported OPEC+ is considering rising output by 500,000 barrels ahead of the EU's Russian oil embargo. Later Saudi Arabia denied the allegations and oil price recouped some of its losses. At once stage, brent briefly flipped into contango , after dropping more than 6.1% to below $85 for the first time since September and WTI touched $75/barrel. Demand concerns are picking up again with Covid cases rising in China and stronger US dollar also weighting.

In FX markets

The focus is on the commodity currency, the Aussie dollar, which has slumped back to 66.05 US on concerns that China will announce more lockdowns which may see demand for the AUD slide. We are also watching the AUDNZD – given the NBNZ is expected to hike rates by 0.75% tomorrow and the RBA can’t hike as much- this theoretically supports downside for the currency pair.

For our look ahead at markets this week
- Read our Saxo Spotlight.
For a global look at markets – tune into our Podcast.




The Saxo Bank Group entities each provide execution-only service and access to Analysis permitting a person to view and/or use content available on or via the website is not intended to and does not change or expand on this. Such access and use are at all times subject to (i) The Terms of Use; (ii) Full Disclaimer; (iii) The Risk Warning; (iv) the Rules of Engagement and (v) Notices applying to Saxo News & Research and/or its content in addition (where relevant) to the terms governing the use of hyperlinks on the website of a member of the Saxo Bank Group by which access to Saxo News & Research is gained. Such content is therefore provided as no more than information. In particular no advice is intended to be provided or to be relied on as provided nor endorsed by any Saxo Bank Group entity; nor is it to be construed as solicitation or an incentive provided to subscribe for or sell or purchase any financial instrument. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. As such no Saxo Bank Group entity will have or be liable for any losses that you may sustain as a result of any investment decision made in reliance on information which is available on Saxo News & Research or as a result of the use of the Saxo News & Research. Orders given and trades effected are deemed intended to be given or effected for the account of the customer with the Saxo Bank Group entity operating in the jurisdiction in which the customer resides and/or with whom the customer opened and maintains his/her trading account. Saxo News & Research does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Bank Group and should not be construed as a record of our trading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication under relevant laws.

Please read our disclaimers:
- Notification on Non-Independent Investment Research (
- Full disclaimer (

Saxo Capital Markets HK Limited
19th Floor
Shanghai Commercial Bank Tower
12 Queen’s Road Central
Hong Kong

Contact Saxo

Select region

Hong Kong S.A.R
Hong Kong S.A.R

Saxo Capital Markets HK is a company authorised and regulated by the Securities and Futures Commission of Hong Kong. Saxo Capital Markets HK Limited holds a Type 1 Regulated Activity (Dealing in securities); Type 2 Regulated Activity (Dealing in Futures Contract); Type 3 Regulated Activity (Leveraged foreign exchange trading); Type 4 Regulated Activity (Advising on securities) and Type 9 Regulated Activity (Asset Management) licenses (CE No. AVD061). Registered address: 19th Floor, Shanghai Commercial Bank Tower, 12 Queen’s Road Central, Hong Kong

By clicking on certain links on this site, you are aware and agree to leave the website of Saxo Capital Markets, proceed on to the linked site managed by Saxo Group and where you will be subject to the terms of that linked site.

Apple, iPad and iPhone are trademarks of Apple Inc., registered in the US and other countries. AppStore is a service mark of Apple Inc.

Please note that the information on this site and any product and services we offer are not targeted at investors residing in the United States and Japan, and are not intended for distribution to, or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation. Please click here to view our full disclaimer.