Stock market today: Live updates

European markets opened lower Thursday as investors assess the impact of the crisis in the Middle East as well as earnings and economic data.

The pan-European Stoxx 600 index was down 0.6% at the start of the session, with most sectors trading in negative territory. Industrials and construction led losses, each with a 0.9% dip.

— Hannah Ward-Glenton

The chief investment officer of South Korean tech giant Kakao has reportedly been arrested for suspected stock manipulation in connection with the tech giant’s acquisition of K-pop label SM Entertainment.

Back in February, Kakao and K-pop agency Hybe were engaged in a bidding war to acquire a majority stake in SM. Hybe had launched an tender offer to buy shares from other shareholders after acquiring a 14.8% stake, but later suspended its takeover bid.

Yonhap News reported that South Korea’s financial market watchdog suspects that Bae Jae-hyun and two other Kakao executives inflated SM’s share price to surpass the tender offer price.

Kakao and its subsidiary Kakao Entertainment together later secured nearly a 40% stake in SM in March, clinching management control of the K-pop label.

— Lim Hui Jie

Japan recorded a trade surplus of 62.4 billion yen ($416.6 million) for September, beating expectations from economists polled by Reuters for a trade deficit of 42.5 billion yen.

Data from Japan’s customs agency revealed that exports in September increased 4.3% year on year, while imports slid 16.3% compared to the same period last year.

According to FactSet, exports to Asia fell for the ninth straight month, which reflected ongoing China weakness. Exports were supported by shipments to Western markets, FactSet added.

— Lim Hui Jie

Investors shouldn’t anticipate a softened tone from Federal Reserve Chair Jerome Powell when he speaks on Thursday, warns Nuveen chief investment officer Saira Malik.

“Markets were generally pleased with other Fed speakers over the last week or so where comments have been dovish, and they’ve been talking about perhaps taking future rate hikes off the table,” she said Wednesday on CNBC’s “Closing Bell: Overtime.”

“I expect Powell to [come in] a little more hawkish tomorrow,” she added. “Inflation is still an issue. The employment markets are still strong. The consumer is still spending. I think all of that together makes him lean a little more hawkish.” Malik noted that her firm still expects one more rate hike before the end of the year.

The Fed Chair’s speech arrives at a critical time for markets. Treasury yields have marched higher, with the 10-year yield topping 4.9% on Wednesday – a high dating back to 2007. Investors hope that Powell will give some insight on where the central bank stands with respect to policy going forward.

Read more about what to expect from Powell’s speech here.

–Darla Mercado

The Dow Transports slid 3.4% Wednesday, marking its worst day since April 26.

Airlines within the 20-stock index suffered keenly Wednesday, with United Airlines shedding 9.7% and Alaska Air tumbling 5.2%. American Airlines and Delta fell more than 4% each.

J.B. Hunt Transport also dropped considerably, falling 8.8% a day after it posted quarterly results. Third-quarter earnings came in at $1.80 per share on $3.16 billion in revenue. Analysts polled by FactSet were calling for earnings of $1.83 per share on revenue of $3.17 billion.

— Darla Mercado, Nick Wells