FT News Briefing Can Arm’s listing reignite the IPO market?
10 snips
Aug 22, 2023 The ongoing sell-off in US government bonds raises concerns about interest rates. Silicon Valley start-ups are hopeful that Arm's IPO could revitalize the market for initial public offerings. The geopolitical landscape is shifting, particularly with the changing dynamics between the US and China. Discussions also highlight the expanding BRICS group and the challenges of unifying diverse nations. Amid these trends, how Arm's listing may influence investor sentiment in the tech sector remains a key focus.
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Bond Yields Surge
- The 10-year US Treasury yield hit a 16-year high of 4.35%, driven by traders' focus on exceeding this threshold.
- This surge in bond yields contrasts with stable equity markets, which anticipate NVIDIA's earnings and the Jackson Hole Symposium.
Arm's IPO Impact
- Arm's large IPO filing might signal a reopening of tech IPOs after a stagnant period.
- However, Arm's unique position may not fully represent the broader tech startup landscape.
BRICS Expansion and Geopolitical Shift
- The BRICS group's potential expansion, with 22 countries seeking membership, marks a geopolitical shift.
- This "à la carte world" allows middle powers to strategically align with different blocs, maximizing their advantages.