Recent cross-asset performance most closely resembles concerns over French public finances, but worries about AI financing are growing. Citi has added a USD/JPY volatility hedge and gone long UK and Spanish government bonds relative to French bonds; despite elevated credit stress, sector concentration keeps it preferring equities over credit.
Citi interprets falling stock prices, widening credit spreads and declining Treasury yields as signs that markets are assigning a higher probability to a slowdown in AI spending. The bank still expects a rate hike in December, but the buffers provided by consumption and housing are weakening, and further stock market declines could change the policy direction.
Embraer’s third-quarter backlog rose to 35.7 billion dollars, with new orders exceeding revenue in every business segment; deliveries in the first three quarters also ran ahead of historical levels. Citi rates the stock Buy and sees particularly strong upside in defense, but realizing that value depends on new selections becoming orders, order pricing and delivery execution.
Third-quarter earnings per share slightly exceeded Citi’s expectations, but shipments and revenue were weak. The company raised the lower end of its full-year earnings guidance on improved gross margin and reduced Truly advertising spending. Citi raised its target price to $197 and maintained a Neutral rating.
Joyoung’s third-quarter revenue and net profit beat Goldman Sachs’ expectations, but its gross margin fell more sharply, and profit has declined year on year for ten consecutive quarters. Goldman cut its 2026–2028 earnings-per-share forecasts by approximately 8%–11%, maintained its Sell rating and lowered its price target to 3.8 yuan.
GFH276 achieved an objective response rate of 41% in pancreatic cancer patients treated predominantly in the third-line setting or later, exceeding Goldman Sachs’ previously established threshold. Efficacy and tolerability support further exploration, but higher doses showed no clear efficacy benefit, and skin toxicity and long-term tolerability will influence subsequent dose selection.
Persian Gulf crude exports have returned to near their 2025 average, but refinery damage, transport constraints and deferred maintenance are slowing the recovery in refined products. Low inventories support prices, while the effect of high oil prices on demand works in the opposite direction.
China added 59 thousand 5G base stations in September, but Goldman Sachs still expects full-year additions to be lower than in 2025. Optical cable export volume rose 52% year on year, diverging from a 22% decline in domestic output; base station exports continued to contract, with the improvement in overseas demand concentrated in certain segments.
Goldman Sachs expects connected fitness subscriptions to return to growth only in fiscal 2029. A lower-priced folding treadmill and AI personalization features are intended to attract and retain users, respectively, but the app’s user base and usage time continue to decline, while growth investment also limits margin improvement.
Net profit in the third quarter of 2026 was 18% above the market consensus, driven mainly by a higher share of AI PCBs, rising capacity utilization and narrower ABF losses. Optical module PCB upgrades and packaging substrate capacity expansion offer room for further growth, but the ramp-up of 1.6T products and ABF profitability each have their own timing thresholds. Morgan Stanley maintains its Equal-weight rating.
Zijin Mining’s third-quarter net profit rose 26% year on year but fell 4% quarter on quarter, slightly below Citi’s expectations. Lower gold selling prices and higher costs squeezed profit, while higher copper volumes and prices provided an offset; Citi maintained its Buy rating based on valuation and gold prices.
Goldman Sachs believes remibrutinib’s multiple sclerosis data fell short of investor expectations and that its better liver safety is insufficient to drive rapid replacement of existing therapies. The company has set a peak sales target of more than 8 billion US dollars across all indications, but evidence on switching treatments and the pace of physician adoption remain key constraints.
JPMorgan believes steelmakers can still benefit from price pass-through in the fourth quarter, although leading indicators for construction are weakening. Demand and earnings performance vary across aluminum processors, while gold equities require a comparison of costs, valuations and the timing of growth delivery.
China National Building Material’s third-quarter net loss narrowed to 67 million yuan, but basic building materials remained weighed down by volumes and prices. Morgan Stanley expects cement price stabilization to drive a modest improvement in the fourth quarter, while new materials such as fiberglass continue to support growth. It maintains an Equal-weight rating.
JPMorgan believes that Pro series delivery lead times remain in line with the same period last year following price increases, signaling resilient demand. However, Pro supply in China is now clearly ample, while Duo's revenue contribution depends on an improvement in supply.
Third-quarter earnings modestly beat expectations, and orders grew by double digits for a fourth consecutive quarter; however, margins in DCST, the fastest-growing segment, still declined. Goldman Sachs maintained its Buy rating and raised its price target slightly to $237, while leaving its 2027–2028 earnings forecasts unchanged.
A Morgan Stanley survey shows that companies remain highly willing to adopt robots, but prices, payback periods and product performance have lowered near-term deployment expectations. The industry is more likely to expand small-scale pilots first, driving component purchases, before gradually moving toward mass adoption.
Generalist uses handheld grippers to bypass the data collection bottleneck of robot teleoperation and has demonstrated the ability to perform new tasks after a few seconds of demonstration. Morgan Stanley values its data scale effects, but cross-robot transfer, task reliability, and the business model will determine whether technical progress translates into revenue.
JPMorgan believes operating pressure on Hyundai Motor and Kia is nearing its lowest point, with a return to normal production and rising volumes of new models expected to support sequential improvement. Investors remain divided over the timing of a fourth-quarter recovery and whether the ramp-up of robotics production capacity can meet expectations.
