Tesla Analysts Look Past Q3 Miss, Credit Suisse Gives Market A Scare, Tim Cook Is A 'Metaverse Skeptic' And More: 5 Key Stories You May Have Missed From The Weekend

Zinger Key Points
  • The markets are coming into October bruised and battered by multiple headwinds.
  • Worsening macroeconomic fundamentals are showing up in corporate performances, posing additional risks.

The market is yet to turn the corner, with one risk after another stifling a potential recovery from its protracted weakness. Tesla Inc. TSLA was in the spotlight over the weekend as stakeholders digested the electric vehicle maker’s quarterly deliveries and its AI Day presentations.

Credit Suisse Becomes Talk Of Wall Street: When Swiss investment bank Credit Suisse Group AG’s CS credit default swaps, or CDS, spiked on Friday, inching closer to the levels matching the ones that prevailed during the 2008 financial crisis, traders began fearing the worst.

CDS is a derivative instrument that is a measure of a borrower’s credit quality. It is a contract between two parties under which one party purchases protection from another party against losses from the default of a borrower.

The bank was already under pressure amid several scandals and mishaps, which took a toll on its stock. Fears of a Lehman-like collapse began to gain ground, and social media was awash with talks of the Swiss bank going under. Meanwhile, Credit Suisse's new CEO Ulrich Körner and other executives sprang into action to calm the fears of clients and investors.

Tesla Analysts Hope For Strong Finish To Year: Tesla reported Sunday record deliveries for the third quarter that, however, trailed expectations. This miss and the weak second-quarter performance have left many worried about whether the company can make up for the shortfall in the fourth quarter.

Tesla bull Daniel Ives of Wedbush, though stating that the third quarter was nothing to write home about, expressed confidence the company can get its lost mojo back in the final quarter of the year.

See Also: Tesla Said To Offer 3x Pay At Giga Shanghai During Weeklong Holiday As It Scrambles To Meet Full-Year Deliveries Target

Cook Says People Lack Clarity About Metaverse: Apple Inc. AAPL CEO Tim Cook said in a recent interview with a Dutch media outlet that most people are unclear about the concept of metaverse. An average person can’t tell what it is, he added. Although acknowledging virtual reality is good, he said it’s not a way to “live your whole life.”

Apple is reportedly working on a mixed-reality headset, which could hit the shelves in 2023. Cupertino’s augmented reality glasses could be made available in the second half of 2024, reports suggest.

OPEC+ Group Eyeing Output Cut: The OPEC+ Group, which comprises 13 OPEC members and 11 other oil-producing countries, is toying with the idea of slashing output by more than one million barrels per day, according to Bloomberg. The rumored move comes amid a steep drop in oil prices as demand slowed down along with the economic slowdown. The report sent oil prices spiking on Monday, with a barrel of the WTI grade crude oil trading up over 4% at around $83.

Trump-Backed Bolsonaro Trails: Brazil’s Jair Bolsonaro, the incumbent, trailed his left-wing rival Luiz Inácio Lula da Silva in the presidential poll in the country. Given the narrow lead secured by da Silva, Brazil will go for a run-off election on October 30.

“Now that other Conservatives are out of the race, President Bolsonaro is in a very strong position to win BIG,” former U.S. President Donald Trump said on his Truth Social platform about Bolsonaro, whom he once dubbed as “Tropical Trump.”

What Else: October has several binary catalysts for biotech and pharma companies that could make or break their stock. Read on to have a handle on some of the key catalytic events for the industry.

Intel Corporation’s INTC self-driving technology unit Mobileye could soon tap the public market, according to the preliminary prospectus filed with the SEC on Form S-1 late on Friday. Reports previously suggested that Intel has trimmed the unit’s initial public offering valuation from $50 billion to $30 billion.

Posted In: BiotechNewsPenny StocksPoliticsFDAIPOsTop StoriesTechMediaGeneralDaniel Iveselectric vehiclesEVsJair BolsonaroLuiz Inacio Lula da Silvametaverseoil pricesTim Cook