Auto & Transport Roundup: Market Talk

The latest Market Talks covering the Auto and Transport sector. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.

1229 GMT - Global air passenger demand declined 0.8% in August compared with the same month a year earlier with falls in the Middle East and North America offsetting rises in other regions, the International Air Transport Association says. Passenger demand--measured in revenue passenger kilometers--fell 14.6% in the Middle East and was 2.2% lower in North America. Latin America and the Caribbean showed the biggest growth at 5.3%, followed by Africa at 4.4%, IATA said. The coming months will show whether travelers might be discouraged from traveling due to geopolitical instability, IATA's Marie Owens Thomsen says. (ian.walker@wsj.com)

0916 GMT - The Kuala Lumpur Composite Index is set to have a wider buffer around its expanded 50-stock gauge, CIMB Securities' Ivy Ng Lee Fang says in a note. With inclusion and deletion thresholds revised to 40th and 61st, respectively, from 25th and 36th, the risk of frequent index turnover is reduced, the analyst writes. The changes will take effect with the December review as the KLCI expands to 50 constituents from 30. Based on Sept. 28 market-cap data, Ng says Unisem and Kelington could enter the index, replacing Genting Malaysia and Malayan Cement. Westports, United Plantations, Vitrox and Sime Darby are among others that could be included, she adds. The final list will be based on market-cap data as at Nov. 23. (yingxian.wong@wsj.com)

0438 GMT - Japan Airlines remains more exposed to higher oil prices than its rival ANA Holdings, Jefferies analysts say in a note. The U.S. bank lowers its fiscal-year EBIT estimate for Japan Airlines to 171.3 billion yen from its previous forecast of Y184.9 billion, below the company's guidance of Y180 billion, primarily reflecting higher fuel assumptions. The analysts say elevated oil prices remain the key near-term risk for Japanese airlines as the U.S.-Iran conflict has tightened energy markets and kept Brent crude around $100 a barrel. The bank continues to prefer Japan Airlines over the mid-to long-term given its stronger balance sheet and diversified earnings mix. Jefferies cuts its target price to Y3,800 from Y4,000 and maintains its buy rating. Shares are 1.8% higher at Y3,066. (kosaku.narioka@wsj.com; @kosakunarioka)

0310 GMT - ComfortDelGro's bus subsidiary is still likely to post a softer operating profit in 2027 despite a higher-than-expected fare hike in Singapore, says DBS Group Research's Zheng Feng Chee in a note. Singapore's public transport council announced an overall fare increase of 7% effective Dec. 26, which the analyst says reflects the recent sharp rise in energy costs. However, he reckons that the latest increase is unlikely to fully offset higher operating expenses if fuel and electricity costs remain at elevated levels. Its subsidiary, SBS Transit, is likely to post a 3% decline in 2027 operating profit on higher costs and the loss of some bus packages, he adds in a note. DBS retains its hold rating and a 1.40 Singapore dollar target price for ComfortDelGro. Shares are flat at S$1.27. (megan.cheah@wsj.com)

(END) Dow Jones Newswires

September 30, 2026 12:20 ET (16:20 GMT)