Despite the poor economic data, the Nord Stream 1 between Russia and Europe was restarted as scheduled, the chip bill continued to advance, and Tesla and other companies reported better-than-expected financial reports, boosting market risk sentiment. U.S. stocks opened on Thursday (21st). All the way up, energy stocks fell with oil prices, semiconductor stocks continued to rise, and Tesla soared nearly 10%.
Technology stocks and consumer discretionary stocks led the gains,Dow JonesIt closed up more than 160 points on Thursday.that fingerandhalf feeRising above 1%, the S&P closed 0.99% in the red, the largest one-day gain since May 27, and continued its third trading day of gains.
Data showed that with the continuous wave of layoffs by companies, the number of people receiving unemployment benefits for the first time was reported at 251,000, which was higher than market expectations, indicating a weak labor market. The Philadelphia manufacturing index’s outlook for business conditions fell to the lowest since 1979, and the Conference Board’s leading economic index fell more than expected, reaffirming the economic slowdown.
Political and economic news, when the heads of state of the United States and China are about to talk, the 79-year-old US President Biden is infected with the epidemic. He is currently showing mild symptoms. The White House continues to pay close attention to Biden’s condition.
The European Central Bank decided to raise interest rates by 2 yards after the meeting on Thursday, ending the 8-year negative interest rate decision. The Fed is expected to hold the Federal Open Market Committee (FOMC) meeting on the 26th to 27th of this month, and the market expects the Fed to decide to raise interest rates by 3 yards.
The Beixi-1 natural gas pipeline between Russia and Europe has been restarted as scheduled, which to a certain extent eases the tension in Europe’s race to store fuel before winter. Russian President Vladimir Putin previously warned that the supply of Nord Stream 1 could drop to around 20% as soon as next week if it cannot return in time.
The global epidemic of new coronary pneumonia (COVID-19) continues to spread. Before the deadline, data from Johns Hopkins University in the United States pointed out that the number of confirmed cases worldwide has exceeded 566 million, and the number of deaths has exceeded 6.37 million. More than 12.2 billion vaccine doses have been administered in 184 countries worldwide.
The performance of the four major U.S. stock indexes on Thursday (21st):
Focus stocks
The five heavenly kings of science and technology are in succession. apple (AAPL-US) rose 1.51%; Meta (META-US) rose 0.044%; Alphabet (GOOGL-US) rose 0.39%; Amazon (AMZN-US) rose 1.52 percent; Microsoft (MSFT-US) rose 0.98%.
Dow JonesMore than half of the constituents were higher. Boeing (BA-US) rose 1.91%; Salesforce (CRM-US) rose 1.59 percent; Goldman Sachs (GS-US) rose 1.58%; Verizon Communications (VZ-US) fell 2.87%; Dow Chemical (DOW-US) fell 2.19%.
half feeConstituent stocks rose broadly. AMD (AMD-US) rose 1.86%; NVIDIA (NVDA-US) rose 1.36 percent; Applied Materials (AMAT-US) rose 1.57%; Micron (MU-US) rose 0.54%; Texas Instruments (TXN-US) rose 0.73%; Qualcomm (QCOM-US) rose 2.74%.
Taiwan stock ADR only Chunghwa Telecom fell. TSMC ADR (TSM-US) rose 1.41%; ASE ADR (ASX-US) rose 2.29%; UMC ADR (UMC-US) rose 4.21%; Chunghwa Telecom ADR (CHT US) fell 0.62%.
Corporate News
Tesla (TSLA-US) surged 9.78% to $815.12 a share on Thursday, its best one-day performance since Jan. 31. As the negative effects of the shutdown of the Shanghai plant emerged, Tesla announced after the market on Wednesday that its second-quarter profit was the first quarterly contraction in more than two years, but it was still better than market expectations. Tesla also reiterated its 50% long-term annual profit. The growth outlook for average deliveries remains unchanged.
apple (AAPL-US) rose 1.51 percent to $155.35 a share. According to a report released by JPMorgan Chase, if Apple’s business model is changing from hardware to software service subscription system, in the long run, Apple’s valuation will return to more than $200, and its market value is expected to return to the $3 trillion mark.
The world’s third largest alumina producer Alcoa (Alcoa) (AA-US) fell 0.75 percent to $45.15 a share. Alcoa reported strong second-quarter earnings after the bell on Wednesday and announced a $500 million share repurchase program. Alcoa said its performance in the first half of the year was “strong”, but the outlook for supply and demand has weakened. It estimates that this year’s aluminum shipments will remain between the previously expected 2.5 million to 2.6 million tons, while this year’s alumina production is down 600,000 tons. Shipments ranged from 13.6 million to 13.8 million tons.
Economic data
- The number of Americans receiving unemployment benefits last week reported 251,000, expected 240,000, the previous value of 244,000
- The number of people receiving unemployment benefits in the United States reported 1.384 million last week, 1.34 million is expected, and the previous value was 1.333 million
- US Philadelphia Fed manufacturing index in July reported +12.3, expected -2.5, the previous value of -3.3
- The U.S. leading index in June decreased by 0.8%, expected to decrease by 0.5%, and the previous value by 0.6%
Wall Street Analysis
“The ongoing potential recovery that the market is seeing right now, with some data not as bad as feared, has been going on for nearly a month,” said Robert Cantwell, portfolio manager at Upholdings.
“This is the world we’re in,” said Megan Horneman, chief investment officer at Verdence Capital Advisors. “Every day, markets have this kind of volatility. Investors are still trying to figure out where the stock market is going, and from an inflation perspective, they don’t know the Fed. How far the road to rate hikes will go, but the ECB is getting very aggressive now.”
Huw Roberts, head of analysis at Quant Insight, warned: “If overall financial conditions continue to tighten, this means that the macro fair value of U.S. stocks will continue to decline.”
The figures are updated before the deadline, please refer to the actual quotation.