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What you need to know on Wall Street today

Oct 25, 2018, 22:33 IST

Welcome to Finance Insider, Business Insider's summary of the top stories of the past 24 hours. Sign up here to get the best of Business Insider delivered direct to your inbox.

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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.

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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.

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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.

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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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