Stock market news today October 25

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‘We remain on the sidelines’: Here’s what Wall Street is
saying about the market’s vicious turbulence 

Wednesday was an ugly day for US stocks.

Not only did the S&P 500 erase
all of its gains for the year, the
tech-heavy Nasdaq logged its worst single-day performance since
2011. This happened after the major indexes opened higher for the
day, squashing hopes that stocks were on track to recover from
the losses they have suffered in a historically turbulent month.

The sell-off in equities was not surprising for those on Wall
Street who had warned that it was a long time coming amid rising
interest rates, restrictive US trade policy, and lofty valuations
for some stocks. At the same time, other pros saw it as a pit
stop in the historic bull market, which
they expected to be elongated by economic growth.

As stocks attempt to make a comeback on Thursday, we’ve rounded
up commentary from Wall Street strategists on the latest bout of
turbulence, and the actionable ideas they have for traders.

Big asset managers like BlackRock are pressuring stock
exchanges to limit a growing practice that ‘poses danger’ to
young companies

A group that represents big funds like BlackRock and the
California State Teachers’ Retirement System
is seeking to limit what it deems unequal voting rights at public
companies.

In Wednesday letters, the Council of Institutional Investors
asked Nasdaq and the New York Stock Exchange to limit
newly-listed companies’ trading time if they fail to give equal
voting to investors.

The letters criticized companies including Snap, which went
public in 2017 without voting rights for external shareholders.

CalSTRS and peer investor California Public Employees’ Retirement
Association, another signatory of Wednesday’s letters, have
opposed individual companies’ dual class structures in the past.
The two pensions criticized Facebook, for example, for a share
system that gives founder Mark Zuckerberg more than half of
Facebook’s voting power. In
a May opinion piece, a CalSTRS portfolio manager
calledFacebook’s
setup “akin to a dictatorship.”

Twitter is soaring after beating Wall Street expectations
— but it’s lost millions of users

Twitter
was soaring Thursday after beating Wall Street estimates on
revenue and profit for the third quarter of 2018.

Twitter’s share price was up more than 10% in premarket trading
as investors took courage from the firm’s 29% year-on-year
revenue rise.

But it’s a mixed picture. Wall Street will also be looking at
Twitter’s steep declines in user numbers.

Centerview has poached one of Bank of America’s star
dealmakers as it continues to steal megadeals away from Wall
Street’s biggest banks

The boutique investment bank Centerview Partners has poached one
of Bank of America Merrill Lynch’s most senior dealmakers, adding
to the hefty churn the bulge-bracket investment bank has
experienced amid a
tough year for the division.

Todd Kaplan, formerly an executive vice chairman in global
banking at Bank of America,
has left his old firm and is set to join Centerview sometime this
fall, according to people familiar with the matter.

Kaplan, 54, has spent most of career at Merrill Lynch, aside
from a
brief dalliance with Citadel Securities in
2009 after the financial-crisis merger of Bank of America and
Merrill Lynch. He returned
to the combined firm in 2010, at the time reporting directly
to the division head Tom Montag, who is now Bank of America’s
chief operating officer.

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