Bank of England hikes rates to 4%

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Before The Bell

Change over the last 24 hours · as of Nov 6, 2026, 6:08 AM ET

Bank of England hikes rates to 4% on oil shock LINK

• The Bank of England raised its base rate to 4% from 3.75%, its first hike in three years, and signaled another could follow unless the Iran conflict and its inflationary fallout ease.
• Eight of nine committee members backed the quarter-point move, with one pushing for a half-point rise; the Bank now sees UK inflation peaking at 4.9% in mid-2026, well above its July forecast, driven by oil persistently above $100 a barrel.
• Governor Andrew Bailey said the rise "shouldn't be seen as the first in an inevitable long sequence," but with the next decision due on 17 December, analysts expect a further hike as the energy cap rises toward £2,150 a year in January and hits mortgage borrowers.

US jobless claims hit 57-year low LINK

• US weekly jobless claims fell to a seasonally adjusted 189,000 in the week ended October 31, the lowest in 57 years, signalling labor market resilience even as the Middle East conflict holds back hiring.
• The figure undershot economists' 196,000 forecast and matched a mid-July reading last seen in 1969; claims have stayed mostly below the 200,000 mark since mid-September, with no state reporting a notable jump last week.
• Separately, stronger third-quarter productivity cut labor costs for the first time in over a year, reinforcing views that the job market isn't fuelling inflation and giving the Fed more room to address price pressures from the war.

OpenAI's hacking AI raises crypto security alarms LINK

• OpenAI says its AI can mass-produce working attacks that seize control of computers running Linux, the operating system underpinning much of the world's IT, including crypto and blockchain systems.
• The system found 948 flaws in the Linux Kernel at a cost of $1,279 each, writing a functioning exploit for every one on a standard Linux desktop with normal security protections switched on.
• The exploits let someone with only limited access, such as a basic user account, take full control of a machine; OpenAI's tool also drafts a fix, with human researchers reviewing results before they reach Linux maintainers.

China blocks SoftBank's $5.4B ABB robotics deal LINK

• Chinese regulators have rejected SoftBank's $5.4 billion purchase of ABB's robotics division, ABB said, blocking a deal central to founder Masayoshi Son's push into AI-driven physical automation.
• The deal, signed in October 2025, valued the unit at $5.375 billion, with SoftBank responsible for securing clearance; China's National Development and Reform Commission told the firm it would not approve the purchase of the robotics business there.
• SoftBank shares fell about 5% on Thursday, compounded by weakness in Arm after a soft outlook, though both companies remain in talks and have not called the deal off, leaving its fate in doubt.

Macro News

• Treasuries rallied as a Democratic midterm sweep sparked a tech selloff. LINK
• Moonshot sought restricted Nvidia Blackwell access through European data centers. LINK
• White House review flagged the SEC's crypto broker-rule overhaul as economically significant. LINK
• CFTC won't enforce against clearinghouses using federally chartered crypto trust companies. LINK
• Regulators questioned banks after Binance's hack highlighted crypto-related security risks. LINK
• Ukraine's central bank wants lawmakers to revise the draft crypto law. LINK
• Iran exempted India, China, Iraq and Qatar from Hormuz oil-transit restrictions. LINK
• French lawmakers unanimously rejected Lecornu's 2027 budget, pressuring bonds before strikes. LINK
• OpenAI adjusted its tone after voters rejected data-center projects across local ballots. LINK
• Hammack said restrictive policy is needed to bring inflation back to 2%. LINK

Corporate News

• Amundi launched an Ethereum-based share class for its European equity fund. LINK
• Agility Robotics will go public through a SPAC, raising $465 million. LINK
• Zipline raised $1.5 billion at a $21.5 billion valuation, expanding Walmart partnership. LINK
• Google will invest $17 billion in its first Wyoming data center. LINK
• OpenAI may pursue a 2027 IPO as corporate sales grow, Brockman said. LINK
• Amazon partnered with Uber Eats to offer restaurant delivery to Prime members. LINK
• Micron paused its Taiwan chip plant plans amid union demands for profit sharing. LINK
• Block reserved $764 million for a proposed DOJ settlement over money-laundering controls. LINK
• Cloudflare shares surged as quarterly revenue and profit beat analyst estimates. LINK
• Microsoft is tightening oversight and retreating from risky neocloud startup deals. LINK
• Unity shares jumped after strong results and an upbeat quarterly forecast. LINK

Stocks

▲ Biggest winners

Applovin rose 31% after third-quarter revenue and profit beat estimates. LINK

Toyota Motor rose 9% after raising profit forecast on strong hybrid sales. LINK

Liberty Media Corporation - Ser rose 8% after Liberty Media acquired John Malone's high-vote Series B shares, cutting his voting power from 48% to 3%. LINK

▼ Biggest losers

Lumentum Holdings fell 19% after guiding fiscal Q2 revenue and profit below Wall Street estimates. LINK

ASE Technology Holding Co. fell 21% after reports of a sizable insider sale by a senior executive. LINK

Astera Labs fell 20% after TD Cowen cut its price target from $300 to $225. LINK

Research & Reports

• Google's TPUv7 results challenge Nvidia in long-context AI inference workloads. LINK
• Anthropic is building AI systems twice as fast, a safety monitor said. LINK
• Enterprise technology spending rose 20.6%, but AI budgets lack measurable business value. LINK
• FATF outlined steps to disrupt scam compounds, a rapidly growing criminal threat. LINK
• US oil glut and inventory drawdowns limited crude's price spike despite supply shocks. LINK
• India's renewable buildout cut fossil-fuel import bills by over $100 billion. LINK

Market Calendar

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