Israel’s Teva gives investors a dose of optimism
After several days of declines, the market finally saw a touch of optimism on Wednesday, leading to a modest rebound. The recovery followed the sharpest one-day drop in almost a month and was largely driven by solid corporate earnings and encouraging labour market data.
Investors had been waiting anxiously for these figures, as the longest government shutdown in U.S. history continues to block the release of official statistics. Against this backdrop, the ADP national employment report took on added significance – and fortunately, it was upbeat. Employment in October rose by 42,000 jobs, following a decline of 29,000 in September.
Further support came from the Institute for Supply Management (ISM), whose survey showed that activity in the services sector climbed to an eight-month high in October, underpinned by steady growth in new orders. Still, there was a note of caution: weak employment figures highlighted the ongoing challenges in the labour market amid economic uncertainty linked to tariffs.
A further boost came from the U.S. Supreme Court, where justices questioned the legality of President Donald Trump’s sweeping tariffs – a case with potentially far-reaching implications for the global economy. However, a final decision has yet to be made.
Taken together, these factors – along with strong quarterly results from McDonald’s (MCD, +2.2%) – helped major U.S. indexes close firmly in positive territory, gaining from 0.37% (S&P 500) to 0.68% (NASDAQ Composite). The often-lagging blue-chip Dow Jones (DJIA-30), supported by McDonald’s performance, even outpaced the S&P 500 with a 0.48% daily gain.
ITS indexes also joined the rebound, outperforming their U.S. peers. The ITS World Index (ITSW) added 0.56%, while the ITS Shariah Index (ITSS) jumped nearly 1%. The standout performer was Israel’s Teva Pharmaceutical Industries Ltd. (TEVA), whose shares surged 20.2% in a single session following an impressive earnings report. Strong sales of key medicines lifted both revenue and profitability. Adjusted net profit (non-GAAP) rose 14% to $910 million, or $0.78 per share, well above analysts’ expectations of $4.36 billion in revenue and $0.68 per share in adjusted earnings.
Overall, the market seems to have stabilised: after several days of selling, downward pressure has eased, and indexes – particularly the S&P 500 – are holding near key support levels.
Market expectation for November 6, 2025
Today is likely to be a challenging day, as early trading across European and Asian markets already indicates.
In Asia, however, sentiment remains upbeat. All major regional markets are firmly in positive territory, leaving little cause for concern. After a brief pullback, Japan’s Nikkei 225 (N225) has bounced from the psychologically important 50,000-point level and is up 1.34% today. Hong Kong is performing even better: strong demand for shares of aluminium giant China Hongqiao Group Ltd (+9.9%) has pushed the Hang Seng index up by 2.12%.
Europe looks less confident. Investors are awaiting the Bank of England’s interest rate decision, which appears to be weighing on sentiment. As a result, major European indexes are trading slightly lower, though losses remain modest at under 0.5%.
A similar trend can be seen in futures for major U.S. indexes, where declines are marginal – around 0.2-0.3%. This suggests that the main market action will likely unfold during the U.S. trading session. The key event of the day could be President Trump’s speech, scheduled to begin about an hour and a half after the market opens. Intraday traders should stay alert around 9 p.m. Astana time.
Still, no major surprises are expected. The market will likely continue its slow, range-bound trading, with indexes consolidating near record highs. Investors remain uncertain whether to push for new peaks or take a short breather ahead of Thanksgiving and the start of the Christmas rally.