
China's Tech Giants Tempted Back From the Cold and Into M&A
Hi, it is Pei Li and Manuel Baigorri in Hong Kong, where we've been taking a closer look at a comeback in M&A deals by China's tech giants. Elsewhere, we break down why BP is a takeover target, while strong IPO returns bode well for more listings.
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Miami Herald
an hour ago
- Miami Herald
H&M has bad news for its loyal customers
Thus far, 2025 has not been a great year for those who enjoy spending a weekend day at the mall, shopping just to relish a bit of retail therapy. In large part, that's been because of President Donald Trump's tariffs announced in April, which sent shockwaves of concern and worry across both business and consumer sectors. Don't miss the move: Subscribe to TheStreet's free daily newsletter In short, the news made it clear that a lot of prices were likely about to go up, especially for businesses that heavily rely on suppliers in China. That concern was validated a few weeks later, when retailers started to touch on the topics during their earnings calls. Perhaps the most alarming one was Walmart's, during which it advised that price increases were coming. As a retailer that caters heavily to a lower-income customer, that was particularly scary news for billions of people. Related: Sam's Club shares big plans to keep members happy It's hardly a surprise that this economic climate has caused some folks to pull back on nonessential spending. Retail sales declined 0.9% in May, the Commerce Department reported. Now as people redirect their attention to saving money, another popular retailer has confirmed some changes are on the horizon. Image source:Swedish fashion brand H&M (HNNMY) has long been popular in the U.S. for its take on modern trends at affordable prices. The brand reported good news during its earnings call on June 26, saying that after a sluggish first half of the year, June sales have increased by 3%. Despite that, CEO Daniel Erver said that shoppers are very price sensitive right now, noting cautious behavior in what he called "uncertain times." As for price increases, Erver said during a conference call that they may very well be on the way. Related: Amazon quietly makes another tough decision "We are very, very closely monitoring and seeing different developments, and we're starting to see some competitors increasing prices," he said. "And that's, of course, something that we're looking into to make sure that we stay competitive on our position." However, H&M also noted in a new statement that while price increases could be a necessity, the customer won't necessarily take the full brunt of the change. "With good flexibility in the supply chain and through the pricing of the customer offering, there are opportunities to adapt the business to changed conditions," the statement read. While the Swedish brand is not unique in offering affordable clothing and accessories, it does have something that other budget brands lack: collaboration with major fashion names. The brand launched a line with fashion legend Jimmy Choo in November 2024, making it possible for even the middle class to own a pair of fabled Jimmy Choo heels. The Choo collaboration was part of an event to celebrate 20 years of H&M collaborations with key names in the fashion space. H&M also brought back limited items from prior collaborations with designers Karl Lagerfeld, Balmain, Lanvin, Moschino, and Isabel Marant. This unique aspect of the fast-fashion brand may be why people are still spending money to buy apparel there, despite the economic climate. Its collaborations are limited-edition runs, and when the items are gone, they're gone. This leaves many scrambling to get them while they can for their own closets or to resell at a higher cost. Related: H&M is the latest victim of an alarming shift in consumer behavior The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.


Fast Company
an hour ago
- Fast Company
Nvidia stock price hits fresh record high as analyst sees ‘golden wave' of Gen AI adoption
Shares of Nvidia Corp (Nasdaq: NVDA) reached a new record high on Thursday in premarket trading. As of the time of writing, the stock had peaked at $156.99 before slightly sliding to $156.68. The uptick follows Wednesday's all-time high closing price of $154.31, which rose to $154.59 in after-hours trading. DeepSeek and tariffs worried investors earlier this year Nvidia has been a de facto representative of AI investment in the market. It reached a high of $153.13 in early January, but its shares soon tumbled alongside China's success with AI company DeepSeek and uncertainty around tariffs. DeepSeek used Nvidia chips to build its AI systems despite the United States banning their sale to China. The stock hit a low of $86.62 on April 7, just five days after President Trump's 'Liberation Day,' on which he announced a series of tariffs worldwide. But now, at nearly double that price, it has recovered its losses—and signaled a renewed investment in AI. However, it comes as the dollar hits a three-year low after reports that Trump will move up his selection of a new Federal Reserve chair, the Wall Street Journal reports. What's fueling Nvidia's recent rally? The chipmaker's current ascension was fueled in part by Loop Capital's decision yesterday to raise its price target from $175 to $250. 'Our work suggests we are entering the next 'Golden Wave' of Gen AI adoption, and NVDA is at the front-end of another material leg of stronger than anticipated demand,' Loop Capital analyst Ananda Baruah stated in a client note, according to Reuters. Helped along by Nvidia's 4% rise on Wednesday, the Nasdaq composite also neared its record high with a 0.3% increase.


Bloomberg
an hour ago
- Bloomberg
China Credit ETFs to Almost Double as Funds Rush to Tech Bonds
The number of corporate bond exchange-traded funds in China is set to almost double to 21 as a growing number of money managers draw up strategies to invest in the fledgling tech-related bond market. Ten Chinese firms including E Fund Management Co., China Southern Asset Management Co. and Invesco Great Wall Fund Management Co., have submitted applications to the securities regulator to set up ETFs that will invest in notes that fund technology businesses, state media reported last week. Brokerage Huaxi Securities Co. says there are currently 11 corporate bond ETFs in China.