The Dow ended two consecutive losses, the S & P closed down three times in a row, and the S & P entered a bear market for two days, led by a decline of more than 3% in the energy sector. Small-cap stocks, chip stocks, and Chinese stocks outperformed the market, while NIO Inc. 's US stocks fell more than 2%, moderating the decline compared with NIO Inc. 's Hong Kong stocks. The pan-European stock index fell to its highest level in more than two weeks at the end of three consecutive days, the real estate sector fell more than 3%, the medical sector rose alone, and Just Eat Takeaway fell more than 16%. The 10-year u.s. yield fell below 3.1% in intraday trading, down more than 10 basis points from Tuesday's high. The dollar index hit a two-week high of 105, while the ruble fell after hitting a seven-year high. Crude oil fell in intraday trading, falling from a nearly two-week high, while European natural gas rose 8% to a three-month high. Gold fell three times in a row and hit a two-week low, while silver hit a two-year low. Lun lead is nearing a 19-month low, while Lun Copper is off a 16-month low.
The three central bank governors of the US, Europe and the UK all said that inflation was the top priority at this stage and did not rule out a bigger increase in interest rates in the summer. Powell, chairman of the Federal Reserve, said the US economy was in good shape to resist monetary tightening, reiterated the need to reduce inflation and promised that inflation would not affect the economy in the long run, but pointed out that there was a risk that higher interest rates would lead to a sharp slowdown in the economy. the greater risk is that high inflation persists and that the process of reducing inflation is likely to produce "some pain", admitting that a soft landing in recent months is more challenging and cannot guarantee success. ECB President Christine Lagarde said the era of ultra-low inflation is unlikely to return and central banks need to adjust to expectations of sharply upward price growth and be prepared to act decisively if necessary. Bailey, the Bank of England, said stronger action could be taken if there were signs that rising prices were a problem.
Investors weighed comments from senior central bank officials about the outlook for the economy and interest rates. Before the close of June, the S & P 500 index, which fell back to the bear market on Tuesday, failed to reverse the decline and was on track for its worst semi-annual performance in half a century, led by the rising energy sector against the market on Tuesday. Blue-chip technology stocks varied, with Apple Inc, Microsoft Corp and Amazon.Com Inc up more than 1 per cent, while Tesla, Inc., who was revealed to be closing his San Mateo office in California and cutting 200 jobs, fell more than 4 per cent at one point. Hot Chinese stocks followed most of the A shares and Hong Kong stocks down, responding that the short report contained a large number of errors and unconfirmed speculation that NIO Inc. 's US stocks fell nearly 8% at the beginning of the session, then narrowed down to a more moderate close than NIO Inc. 's Hong Kong stocks.
During Powell's speech, the dollar index, which reversed two consecutive losses, rebounded further on Tuesday, rising to an intraday high of 105.00, a new high in nearly two weeks. Treasury prices continued to rise and yields fell further, following European bonds, with the benchmark 10-year yield falling below 3.10 per cent in intraday trading, down more than 10 basis points from Tuesday's high. At the same time, expectations are rising that the Fed will cut interest rates after raising interest rates at its peak next year, and the bond market now expects a 50 basis point cut next year.
The rise of the rouble, the leader of non-US currencies this year, has been suspended. The rouble continued to fall against the dollar at a seven-year high after Russia's central bank governor said he might buy "friendly" currencies in an attempt to devalue the rouble.
Spain's CPI rose 10.2% in June from a year earlier, the fastest pace since April 1985. Lagarde and Powell stuck to the hawkish stance of raising interest rates. European stocks fell and the pan-European stock index fell to a two-week high. German CPI unexpectedly fell rather than rose in June, and European bond yields, which have been climbing for days, fell across the board. The yield on benchmark 10-year German bunds fell more than 10 basis points a day for the first time in a week.
Among commodities, European natural gas futures rebounded sharply after the media said that Britain was considering cutting off natural gas supplies to the European Union in case of emergency. Dutch Natural Gas, the continental benchmark, hit a new high in more than three months after last Thursday. Although the US Department of Energy announced that US EIA crude oil stocks fell by 2.76 million barrels more than expected last week, conveying worrying tensions in oil stocks, international crude oil, which has risen for three days in a row, turned lower in intraday trading, commenting that some investors left the market after hitting a two-week high in a row, partly pushing oil prices back down. The strengthening of the dollar came as precious metals gold and silver continued to fall, gold futures repeatedly hit two-week lows and silver futures fell to nearly two-year lows. The rise and fall of industrial metals was mixed, Lun copper rebounded, Lun Ni Len Zinc continued to rise, and Lun Al Len lead Lun tin continued to fall, approaching at least one-year lows set by each of them on Friday.
The S & P Nasdaq closed slightly lower than Hong Kong stocks, leading small-cap stocks, chips, and China to lose. NIO Inc. 's decline was more moderate than that of Hong Kong stocks.
The performance of the three major US stock indexes varied. The S & P 500 and the Nasdaq composite index both opened lower and rose more than once. They all rose about 0.4% when they were high in early trading, nearly 0.6% when the S & P refreshed their lows at midday, and nearly 1% when the Nasdaq index was down at the beginning of the session. The high-opening Dow Jones Industrial average fell at the beginning of the day and fell short-term. After two falls in midday, it got rid of the decline and refreshed its daily high. It rose nearly 206 points, or 0.7%, on the day.
In late trading, the Dow kept its rally, and the S & P and Nasdaq failed to rise again. In the end, only the Dow closed up, up 82.32 points, or 0.27%, at 31029.31, ending two days of losses, but failed to erase Tuesday's nearly 1.6% decline. S & p closed down 0.07% at 3818.83 points, in a bear market range for two consecutive days, closing down more than 20% from its record high on January 3, and is set to record its biggest semi-annual decline since 1970 on Thursday. The Nasdaq closed down 0.03% at 11177.89, and both the s & p fell for three days in a row, continuing to fall off Friday's highest level since June 9.
Russell 2000, a small-cap stock index dominated by value stocks, closed down 1.12%, outperforming the market and falling for two days in a row. The Nasdaq 100 index, which is dominated by technology stocks, closed up 0.18%, ending two days of losses and outperforming the market.
Dow, S & P, Nasdaq and Russell 2000 Index trend from June 28 to 29
Five of the S & P 500 sectors closed lower on Wednesday, led by energy that fell more than 3.4 per cent, while other sectors-finance, industry, materials and real estate-fell less than 0.8 per cent, while health care led the way among the six sectors that rose nearly 0.9 per cent. Tesla, Inc. 's consumer discretionary goods rose slightly and utilities rose less than 0.1 per cent.
ETF trend of S & P sectors from 28th to 29th
Leading technology stocks closed mixed, while Tesla, Inc. closed down 1.8% for three consecutive days. Among the six major technology stocks in the former FAANMG and now GANMMA, Facebook Inc's parent company Meta closed up 2%, Amazon.Com Inc rose more than 1.4%, Apple Inc rose 1.3%, Microsoft Corp rose nearly 1.5%, all rebounded after falling at least nearly 3% on Tuesday, while Nai fell nearly 0.7%, and Alphabet Inc-CL C's parent company Alphabet fell nearly 0.3%, all of which continued to fall.
Among the volatile stocks, 3B Home (BBBY), which had lower-than-expected quarterly revenue and higher-than-expected losses and announced the departure of CEO, fell 23.6%. After Morgan Stanley almost halved its target price because of worries about debt and possible future demand shocks, Carnival Cruise (CCL) closed down 14.1%, other cruise stocks also fell, Royal Caribbean Cruise (RCL) closed down 10.3%, Norwegian Cruise (NCLH) closed down 9.3%. AI loan platform Upstart (UPST), which was downgraded from holding to reduced holdings because Morgan Stanley was not optimistic about the central bank's interest rate hikes and growth prospects in the macro environment, closed down 10.2%. After downgrading the second quarter and full-year profit guidance, JPMorgan Chase & Co downgraded the rating from overweight to neutral Bath & Body Works (BBWI) by nearly 9%. Semiconductor test Teradyne (TER), which Bank of America Corporation downgraded its rating from buy to neutral because of near-term risks caused by uncertain iPhone demand, closed down 5.2 per cent, while General Mills (GIS), which had higher-than-expected quarterly earnings and revenue, closed up nearly 6.4 per cent.
Most of the hot US stocks fell, overall outperformed the market, but some of them rebounded, with ETF KWEB and CQQQ closing down about 1.1 per cent and 1.3 per cent respectively. The Nasdaq Golden Dragon China Index (HXC) closed down 0.65 per cent. Of the four constituent stocks on the Nasdaq 100 index, Baidu, Inc. closed down 1.6%, NetEase, Inc fell 1.3%, JD.com rose nearly 0.5%, and Pinduoduo rose nearly 0.2%. The performance of the three new car-building forces was all stronger than Tuesday. NIO Inc. Motor closed down more than 2%, XPeng Inc. fell more than 1.7%, and Li Auto Inc. rose 2.7%. Among the other stocks, Kanzhun and Full Truck Alliance Co. Ltd., which restored the registration of new users, rose about 3.6% and 7.8% respectively at the beginning of the session, then quickly turned down, closing down nearly 1.9% and more than 10% at Station B, Zhihu Inc. and NetEase, Inc, respectively, closing down more than 4%, DouYu International Holdings Limited down nearly 4%, HUYA Inc. down 3%, BABA down 0.6%, while New Oriental Education & Technology rose more than 9%, Tencent powder rose more than 1%, and Tencent Music rose 0.1%.
For European stocks, the pan-European stock index, which has risen for three days in a row, fell back. The European Stoxx 600 index fell to its highest level since June 10 on Tuesday. Stock indexes of major European countries also fell. Health care, which rose more than 0.7 per cent, was the only one that closed higher, while real estate, which fell 3.5 per cent, led the decline, while tourism and automobile sectors both fell 2.6 per cent. Among individual stocks, Just Eat Takeaway, Europe's largest online food ordering platform, fell 16.5% to an all-time low amid doubts about the successful sale of its u.s. Grubhub business and its ability to make a profit without additional financing.
The 10-year Treasury yield fell more than 10 basis points from Tuesday's high below 3.1% in intraday trading.
The prices of European government bonds, which have fallen for days, have rebounded, and yields on euro-zone government bonds have reversed their three-day rise. By late European trading, the yield on UK benchmark 10-year government bonds fell 8.0 basis points to 2.385 per cent, while German bunds fell 10.9 basis points, the biggest one-day drop since last Wednesday, to 1.519 per cent. European stocks fell below 1.50% to 1.498% just before the close, refreshing the last two-day lows.
Yields on 10-year benchmark US Treasuries, which fell back in intraday trading on Tuesday, fell further, breaking 3.10 per cent at midday on Wednesday, closing at about 3.09 per cent, to a new low of 3.0854 per cent in late trading in New York, refreshing the last three-day low and down 8.71 basis points on the day, down about 17 basis points from the last four-day highs set by rising above 3.25 per cent on Tuesday.
The dollar index hit a two-week high of 105 in intraday trading and fell after hitting a seven-year high.
The ICE dollar index (DXY), which tracks a basket of the dollar's six major currencies, fell below 104.40 to refresh session lows in early Asian trading, falling more than 0.1% during the day. European stocks kept rising after rising in intraday trading, while US stocks broke through 105.10 at one point close to 105.15 at midday, the highest since June 16, and rose more than 0.6% in intraday trading for the first time since June 17. It is close to the intraday high of 105.80 set since December 2002 on June 15.
By Wednesday's close, the dollar index was above 105.10, up nearly 0.6% on the day, and two more days after falling for two days in a row, while the Bloomberg spot dollar index rose 0.5%, its highest level since June 14.
The offshore RMB (CNH) fell against the dollar for three days in a row. European stocks fell below a fresh session low before trading and fell 151p during the day, before the decline narrowed. Us stocks regained the 6.70th mark when they were at a pre-session high. At 04:59 Beijing time on the 30th, the offshore RMB was at 6.7081 yuan against the dollar, down 57 points from late Tuesday in New York, and off the intraday high set since June 16 when it broke below 6.67 before Tuesday's intraday decline.
The Russian rouble, which has risen for three days, closed at 53.2375 against the dollar, down 2.78% on the day. European stocks approached 50.00 in early trading, hitting a two-day high since May 2015. on Tuesday, it rose above 51.00 for the first time since May 2015, and then continued to fall. European stocks fell in intraday trading.
BTC rose above $20400 at an intraday high in Asia, while European stocks fell below $20, 000 at one point before trading, while US stocks fell below $19900 at the start of the session, the lowest since Friday, June 22, down more than $600, or about 3%, from their intraday high. U. S. stocks closed above $20, 000 and fell about 0.3% in the last 24 hours.
Edit / Jeffrey