Leading Air Cargo Price Platform, TAC Index

TAC Index

Leading Air Cargo Price Platform

TAC Index Is the Leading Provider of Risk Management Information Services for the Air Cargo Industry, Delivering Market-Neutral, Innovative Products That Empower Economists, Financial Institutions, and Governments to Make Smarter, Data-Driven Decisions and Reduce Their Exposure to Air Cargo Trade Risk.

Cross Asset Strategy

<ul><li>Global air freight rates edged a little lower last week according to the latest data from TAC Index, the leading price reporting agency on air freight markets and calculating agent for the Baltic Air Freight indices.</li><li>The global Baltic Air Freight Index (BAI00) eased lower by -2.1% over seven days to October 12, leaving it still ahead by +24.3% year-on-year.</li><li>A slight drop was not unusual for the Golden Week holiday period in China when factories often shut down and volumes decrease.</li></ul>

Global air freight rates edged a little lower last week according to the latest data from TAC Index, the leading price reporting agency on air freight markets and calculating agent for the Baltic Air Freight indices.The global Baltic Air Freight Index (BAI00) eased lower by -2.1% over seven days to October 12, leaving it still ahead by +24.3% year-on-year.A slight drop was not unusual for the Golden Week holiday period in China when factories often shut down and volumes decrease.

TAC Index Weekly Air Cargo Bulletin 12.OCTOBER.2026

AI and Energy Infrastructure, Explained Plainly, The Physical Layer

The Physical Layer

AI and Energy Infrastructure, Explained Plainly

A journal on the physical constraints behind the AI buildout: power, grid connection, data centres, cooling and the supply chains that gate them. Written to be understood by anyone.

Equity Bottom-Up

Schneider Electric SE manufactures power distribution and automation systems. The Company produces circuit breakers, remote installation management equipment, panelboards, programmable logic controllers, industrial control products, detectors, human-machine interfaces, and process controls.  Schneider's products are sold various brands.

<ul><li>Schneider Electric makes the electrical and cooling equipment inside data centres.</li><li>More and more of what it sells them now arrives as whole units, assembled and tested in a factory, rather than as separate parts for workers to fit on site.</li><li>The reason is that skilled people on the building site, not just the equipment, now set how fast an AI data centre can switch on.</li></ul>

Schneider Electric makes the electrical and cooling equipment inside data centres.More and more of what it sells them now arrives as whole units, assembled and tested in a factory, rather than as separate parts for workers to fit on site.The reason is that skilled people on the building site, not just the equipment, now set how fast an AI data centre can switch on.

Schneider Electric sells AI data centres the finished system, not the parts

Research from Quam Securities, Quam Securities

Quam Securities Research

Research from Quam Securities

Quam Securities

Since its inception in 1986, Quam Securities Limited (Quam Securities) has grown to become one of the few mid-tier securities brokerages in Hong Kong with global execution capabilities for both private and institutional clients. It boasts a well-established network in Greater China including Taiwan and in major world markets through the Global Alliance Partners (GAP). Quam Securities is well-positioned not only to harness and drive business within the China Tonghai International Financial Limited but also between China and the world markets.

<ul><li>The HSI opened 155 pts higher.</li><li>Sentiment improved as US futures advanced and Asian shares recovered from earlier losses, while oil prices retreated after US President Trump said he would not attack Iran before the midterm elections.</li><li>China’s 10-year government bond yield fell to 1.70% on Friday, retreating from a near one-month high in the previous session, as yuan-denominated debt attracts global borrowers seeking cheaper financing.</li></ul>

The HSI opened 155 pts higher.Sentiment improved as US futures advanced and Asian shares recovered from earlier losses, while oil prices retreated after US President Trump said he would not attack Iran before the midterm elections.China’s 10-year government bond yield fell to 1.70% on Friday, retreating from a near one-month high in the previous session, as yuan-denominated debt attracts global borrowers seeking cheaper financing.

Chief Economist, Heteronomics

Phil Rush

Chief Economist

Heteronomics

Heteronomics represents a different kind of economics. We believe analysis should delve into the details of what is really going on, rather than using overly simplistic assumptions to quick-sell stories. Independence from myopic institutional pressures allows us to focus on the realities underlying your asset allocation decisions, without the conflicts of the old market structures. Heteronomics targets the themes driving UK asset prices, offering the benefits of depth, independence and ultimately price.

UK-centric macro research

Macroeconomics

<ul>
<li>Energy supply is tightening due to intensified attacks in the Strait of Hormuz and a US hurricane. Fed minutes and ECB meeting accounts also confirm a tightening bias.</li>
<li>A failure by the UK Green Party leader to significantly increase support for the left in a by-election also reduces the political pressure on PM Burnham to loosen fiscal policy.</li>
<li>Next week features US inflation data that are set to show another rise with energy prices. UK GDP and the final EA inflation print are other highlights for us.</li>
</ul>


Energy supply is tightening due to intensified attacks in the Strait of Hormuz and a US hurricane. Fed minutes and ECB meeting accounts also confirm a tightening bias.
A failure by the UK Green Party leader to significantly increase support for the left in a by-election also reduces the political pressure on PM Burnham to loosen fiscal policy.
Next week features US inflation data that are set to show another rise with energy prices. UK GDP and the final EA inflation print are other highlights for us.


Asian Hedge Fund Manager, Long Short Equity, Macro

David Mudd

<ul>
<li>DC company share prices are rolling over, foreshadowing increasing pressure on their hyperscaler customers.  Since the July swoon in semiconductor stocks, the DC sector has underperformed both hyperscalers and semiconductors.</li>
<li>DC players face strong headwinds on multiple fronts, including high leverage/circular financing, supply chain delays, public opposition, and questions about aggressive forecasts of future compute demand.</li>
<li>Leverage is the most prominent risk in the DC sector, with questions looming about completion dates and customers' ability to meet their contracted offtake agreements.</li>
</ul>


DC company share prices are rolling over, foreshadowing increasing pressure on their hyperscaler customers.  Since the July swoon in semiconductor stocks, the DC sector has underperformed both hyperscalers and semiconductors.
DC players face strong headwinds on multiple fronts, including high leverage/circular financing, supply chain delays, public opposition, and questions about aggressive forecasts of future compute demand.
Leverage is the most prominent risk in the DC sector, with questions looming about completion dates and customers' ability to meet their contracted offtake agreements.


DATA CENTER SECTOR: From the Tip of the Spear to Canary in the Coal Mine

France
Insights on France

TAC Index Weekly Air Cargo Bulletin 12.OCTOBER.2026

Global air freight rates edged a little lower last week according to the latest data from TAC Index, the leading price reporting agency on air...

TAC Index

Schneider Electric sells AI data centres the finished system, not the parts

Schneider Electric makes the electrical and cooling equipment inside data centres. More and more of what it sells them now arrives as whole units,...

The Physical Layer

Quam Morning Note (12 Oct)

The HSI opened 155 pts higher. Sentiment improved as US futures advanced and Asian shares recovered from earlier losses, while oil prices...

Quam Securities

HEW: Broadly Blowing Tighter

Energy supply shocks and hawkish Fed/ECB signals are tightening the global outlook, while political pressure for fiscal loosening is easing in the...

Phil Rush

DATA CENTER SECTOR: From the Tip of the Spear to Canary in the Coal Mine

The sudden plunge in demand for an Nvidia-backed data center company’s initial public offering is revealing fresh cracks in the AI funding boom....

David Mudd