The hairpin bend of the UK tax cut policy, poor economic data, and the slump in US bond yields have all reassured Wall Street. US stocks rebounded on the first trading day of October. receive red,Dow JonesOn Monday (3rd), it soared more than 760 points, the S&P closed nearly 2.6% in the red, the largest one-day gain in more than two months, and Tesla bucked the trend and closed in the black.
In terms of data, the market ushered in the first bad data this month. The ISM manufacturing index fell to 50.9 in September, far lower than the 52.2 expected by the market, and not as good as 52.8 in August, a new low since May 2020, showing the expansion rate of the manufacturing industry. slow down.
Political and economic news, as the market has entered the “bad news is good news” mode, investors speculated that the poor data on Monday may make the Federal Reserve less aggressive in raising interest rates. % about.
However, New York Fed President John Williams said monetary policy has yet to have a limiting effect on the U.S. economy, supporting continued interest rate hikes to fight inflation.
The U.N. agency warned on Monday that a global recession triggered by monetary policy could have particularly severe consequences for developing countries, and called on the Federal Reserve to suspend interest rate hikes and develop a new strategy.
International Monetary Fund President Kristalina Georgieva said on Monday that a global recession could be avoided if governments’ fiscal policies were synchronized with tighter monetary policies.
British Chancellor of the Exchequer Kwasi Kwarteng confirmed last Sunday (3rd) that he would abandon the cancellation of the annual income of 150,000GBPThe above plan to levy 45% personal income tax, and the hairpin bend move calmed the market sentiment.
Energy prices and energy stocks rose sharply on news that OPEC+ may discuss a 1 million barrels per day (bpd) production cut, equivalent to 1% of global supply, at its Oct. 5 meeting in Vienna. In addition, Russian Deputy Prime Minister Alexander Novak is rumored to be present at the meeting, which could put pressure on the EU as Novak has been placed on the US sanctions list.
Russia formally annexed four Russian-occupied territories in Ukraine on Friday, President Vladimir Putin signed a treaty document on “new territories of the Russian Federation” and Russia’s lower house on Monday approved a law that would incorporate the four territories into Russia.
A number of foreign media quoted sources as saying that the Biden administration later this week announced a series of new rules to expand controls on the export of U.S. semiconductor technology to China in an attempt to prevent China from obtaining chips for supercomputers and data centers.
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 618 million, and the number of deaths has exceeded 6.54 million. More than 12.7 billion vaccine doses have been administered in 184 countries worldwide.
The performance of the four major U.S. stock indexes on Monday (3rd):
- US stocksDow JonesIt rose 765.38 points, or 2.66 percent, to 29,490.89.
- NasdaqThe index rose 239.82 points, or 2.27 percent, to end at 10,815.44.
- S&P 500 IndexIt rose 92.81 points, or 2.59 percent, to end at 3,678.43.
- Philadelphia SemiconductorThe index rose 86.6 points, or 3.76 percent, to end at 2,393.3.
Focus stocks
The five kings of technology are unstoppable. apple (AAPL-US) rose 3.08%; Meta (META-US) ) rose 2.16%; Alphabet (GOOGL-US) rose 3.13 percent; Amazon (AMZN-US) rose 2.55%; Microsoft (MSFT-US) rose 3.37%.
Dow JonesConstituent stocks generally ended higher. Chevron (CVX-US) soared 5.61%; the development of heavy industry (CAT-US) rose 4.36 percent; Boeing (BA-US) rose 4.1 percent; American Express (AXP-US) rose 3.79%; Johnson & Johnson (JNJ-US) fell 0.1%.
half feeConstituent stock momentum is like a rainbow. Colin R&D (LRCX-US) surged 6.47%; Applied Materials (AMAT-US) rose 5.27%; AMD (AMD-US) rose 4.34%; Qualcomm (QCOM-US) rose 3.75%; Texas Instruments (TXN-US) rose 3.27%; Intel (INTC-US) rose 4.66%; Micron (MU-US) rose 3.23%; NVIDIA (NVDA-US) rose 3.07%.
Taiwan stock ADR received more red. TSMC ADR (TSM-US) rose 1.01%; ASE ADR (ASX-US) rose 1.20%; UMC ADR (UMC-US) rose 1.80%; Chunghwa Telecom ADR (CHT US) fell 0.06%.
Corporate News
The U.S. Supreme Court on Monday again rejected Apple’s appeal over Qualcomm’s patents. Separately, Morgan Stanley data showed that Apple’s App Store revenue fell about 5% in September, the largest drop since records began in 2015, and analysts said Apple customers may spend less as the economy slows and App Store services Revenue could be challenging. apple (AAPL-US) closed up 3.08% at $142.45 a share with the broader market.
Credit Suisse, Switzerland’s second-largest bank, was shocked that it may be on the verge of bankruptcy. Although Credit Suisse executives tried their best to put out the fire and shouted that their capital status and liquidity were safe, the market was still worried that the tragedy of the financial tsunami caused by the bankruptcy of Lehman Brothers may repeat. Credit Suisse ADR (CS-US) fell more than 10% after the opening bell, and then closed up 2.30% in the red to $4.01 per share.
Tesla, a major U.S. electric car maker, delivered 343,830 vehicles globally in the third quarter, breaking a record, but it still fell short of analysts’ expectations. Tesla (TSLA-US) plunged 8.61% to $242.40 a share, its worst one-day performance in four months.
U.S. coal topped $200 a ton for the first time since data became available in 2005, prompting a surge in coal producers. Consol Energy (CIEX-US) soared 7.18% to $68.94 per share.
American fitness equipment startup Peloton (PTON-US) surged 7.79% to $7.47 a share. Peloton announced Monday that it will install freewheeling exercise bikes at all 5,400 Hilton-branded restaurants in the United States in an attempt to expand its reach.
American tech giant Meta (META-US) received a 2.16% dividend to $138.61 per share. Facebook parent company Meta has unveiled AI software tools that give developers the flexibility to switch between Nvidia and AMD chips.
Economic data
- The final value of the US Markit manufacturing PMI in September was 52, 51.8 was expected, and the previous value was 51.5
- The U.S. September ISM manufacturing index reported 50.9, expected 52.2, and the previous value of 52.8
Wall Street Analysis
Sam Stovall, investment strategist at CFRA, said: “The S&P fell more than 9% in September, and Monday’s rebound was not surprising given how oversold the market was, but now the ISM manufacturing index is weaker than expected, construction spending Also, investors are now speculating that maybe the Fed will not raise rates so aggressively.”
Known as “Dr. Doom”, the famous economist Nouriel Roubini predicts that the U.S. bond market is in crisis, the U.S. economy will have a hard landing by the end of this year, and U.S. stocks may fall by 40%.
Keith McCullough, founder of Hedgeye Risk Management, was bearish on stocks and bonds in early 2022, and the market has plummeted since then, but McCullough is still bearish, recommending investors turn to defensive assets, such as cash, the dollar,goldand income stocks.
The figures are updated before the deadline, please refer to the actual quotation.