Key global financial headlines from last night to this morning include:
1. **Hassett: Fed Has Room for More Than 25 Basis Points in Rate Cuts** Kevin Hassett, Director of the White House National Economic Council, stated that the Federal Reserve has significant room to cut interest rates. Hassett, a favored candidate among Trump advisors for Fed Chair, was asked at the CEO Council Summit whether he would push for deeper rate cuts if appointed. He responded, "If economic data permits—like now—I believe there’s substantial room for rate reductions." When pressed on whether this meant more than 25 basis points, he confirmed, "That’s correct." His alignment with Trump’s stance has raised concerns about the Fed’s traditional political independence in rate decisions.
2. **Zelensky: Ukraine to Submit Updated Peace Proposal to US on Wednesday** Ukrainian President Volodymyr Zelensky announced that Ukraine will submit a revised peace proposal to the U.S. on Wednesday. "We’re finalizing the work today and will submit it tomorrow," he said. Earlier, Zelensky revealed that Ukraine and its European allies had largely prepared an "enhanced" proposal after talks with leaders of the UK, France, and Germany in London.
3. **SpaceX Targets $300B+ IPO in 2026** Elon Musk’s SpaceX is advancing plans for an IPO aiming to raise over $300 billion at a valuation of ~$1.5 trillion, per sources. Management and advisors are targeting a mid-to-late 2026 listing, though timing may shift to 2027. Musk previously stated Starlink would go public once revenue growth became "smooth and predictable." Recent reports of an $800B secondary offering were denied by Musk as inaccurate.
4. **JPMorgan Chase Shares Drop as 2026 Spending Outlook Exceeds Estimates** Marianne Lake of JPMorgan Chase projected 2026 expenses at $105 billion, surpassing analyst expectations and triggering a 4.3% stock drop to $301.72—the steepest intraday decline since mid-October. Lake cited volume-driven costs, strategic investments, and "structural inflation impacts" as key drivers. The stock was the worst performer in the KBW Bank Index.
5. **Apple Emerges as ‘Anti-AI’ Play, Outperforming Tech Peers** Initially criticized for lacking an AI strategy, Apple’s caution has turned into a strength as skepticism around AI grows. After ranking second-worst among the "Magnificent Seven" with an 18% H1 2025 drop, Apple surged 35% while AI-focused peers like Meta and Microsoft faltered. The S&P 500 rose 10% and the Nasdaq 100 gained 13% in the same period. "Their disciplined spending amid industry hype is remarkable," noted John Barr of Needham Aggressive Growth Fund.
6. **U.S. Job Openings Hit 5-Month High in October, but Layoffs Rise** October job openings edged up to 7.67 million, exceeding estimates, though hiring slowed and layoffs climbed to 1.85 million—the highest since early 2023. Gains were concentrated in retail, wholesale, and healthcare, the latter being 2025’s top job-growth driver. Accommodation and food services led layoffs.
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