Hot news

• Fed Daley: the impact of raising interest rates is greater than it should be. We must guard against the recession caused by excessive policy tightening.

On Monday, local time, San Francisco Fed Chairman Daley said the actual impact of the Fed's rate hike may be greater than the current federal funds rate should be. Since the beginning of this year, the Fed has raised interest rates six times, raising interest rates by 375 basis points, including raising interest rates by 75 basis points for four times in a row, raising the target range of federal interest rates from near zero to 3.75%. This is the most aggressive interest rate hike cycle for the central bank since the 1980s. Daley believes that ignoring the actual impact of Fed interest rate policy on the economy will increase the likelihood of excessive tightening, leading to a recession.

• Mestre supports a 50 basis point rate hike in December, but inflation still needs to show more signs of slowing down

The Fed is widely expected to raise interest rates for the seventh time this year in December, but this time by only 50 basis points. Mestre, chairman of the Cleveland Fed, said she agreed to slow the pace of rate hikes. "We are at a moment when we are about to enter a restrictive policy position, and at this point, I think it makes sense to slow down the pace of interest rate hikes, but we need to see inflation really enter a sustainable downward path back to 2 per cent. In recent days, a number of other Fed officials have expressed a similar view that the pace of raising interest rates can slow, but it is still necessary to continue to tighten policy until inflation shows more signs of slowing.

• Hedge funds cut exposure, betting that US stocks rebounded into a bear market trap

Although the S & P 500 rose for the second month in a row, hedge funds that are both long and short are largely avoiding adding new long positions, according to brokers, a leading institution on Wall Street. The fund clients tracked by JPMorgan Chase & Co have reduced their bets on long and short positions, reversing all their exposure between the end of August and the end of September. Goldman Sachs Group's data show that total hedge fund trading volume has fallen for the fifth week in a row, a sign of tepid risk appetite and that savvy investors see the recent stock market rally as nothing more than a bear market trap.

• Saudi Arabia denies reports of increasing production, saying "OPEC +" oil production reduction plan will continue until the end of 2023

On the evening of the 21st local time, the Saudi energy minister denied to the outside world that Saudi Arabia was discussing oil production with other oil-producing countries. The Saudi state news agency quoted the Saudi energy minister as saying that OPEC + would not "discuss any issues related to oil production" before the regular meeting. OPEC +'s plan to cut production by 2 million barrels a day will continue until the end of 2023. Earlier, the Saudi-led Organization of Petroleum Exporting countries and Russia and other non-OPEC oil producers agreed on October 5 to cut oil production by 2 million barrels a day from November.

• The proposal to limit the price of natural gas is about to be announced, and the European Energy Exchange warns that it may be counterproductive.
  

The European Commission will launch a proposal to limit benchmark natural gas prices this week, but the European Energy Exchange has warned that capping natural gas prices poses a serious threat to supply security and financial stability in the region. and it will do nothing to achieve its goal of reducing energy costs. The European Association of Energy exchanges further stated that the natural gas price limit mechanism would have a "potentially irreparable negative impact" on the operation of the region's energy market, which would last for a long time.

Review of US stocks

• The three major indexes closed down collectively, with the Nasdaq down about 1% and Tesla, Inc. down nearly 7%.

Large-scale technology stocks fell, Apple Inc fell 2.17%, Amazon.Com Inc fell 1.78%, Amazon.Com Inc Meta fell 1.95%, Alphabet Inc-CL C fell 1.88%, Microsoft Corp rose 0.34%, and Netflix Inc fell 1.02%.

Hot Chinese stocks generally fell. Alibaba fell 4.41%, JD.com 6.37%, Pinduoduo 3.61%, Bilibili Inc. 8.15%, Baidu, Inc. 1.47%, New Oriental Education & Technology Group 6.74%, NetEase, Inc 1.72%, Tencent Music 0.36%.

• Musk says there are no more layoffs.

According to media reports, Musk told the plenary meeting on Tuesday$Twitter (TWTR.US)$Employees, he plans not to lay off staff. Musk also told employees that the company is currently hiring engineering and sales staff. Twitter's internal employee statistics are currently 2750, although some resignations and layoffs may still be in the process, according to people familiar with the matter. Before Musk took over, Twitter had more than 7000 employees.

• Will be bought by Merck & Co Inc at a premium, and the share price of anticancer drug developer Imago soars more than 100%.

On Monday local time, the pharmaceutical giant$Merck & Co (MRK.US)$Announced that it would acquire anti-cancer drug developers for $36 per share in cash (a total value of about $1.35 billion).$Imago BioSciences (IMGO.US)$. Imago shares closed at $17.40 on Friday, buoyed by the news that by Monday's close, the shares had surged more than 100 per cent to $35.59, while Merck & Co Inc's shares were up more than 1 per cent.

• Closely following Buffett, many investment banks are bullish on Taiwan Semiconductor Manufacturing Co Ltd, Morgan Stanley: "now is a good time to buy."

Buffett sells China, a leading company in the semiconductor field.$Taiwan Semiconductor Manufacturing (TSM.US)$Detonating market bullish sentiment, Goldman Sachs Group, Morgan Stanley and other Wall Street investment banks said that Taiwan Semiconductor Manufacturing Co Ltd's valuation is quite attractive. Goldman Sachs Group believes that in view of Taiwan Semiconductor Manufacturing Co Ltd's excellent execution, it is expected that Taiwan Semiconductor Manufacturing Co Ltd will still show stronger resilience compared with other peers in the industry downward cycle. Analysts at Morgan Stanley say Taiwan Semiconductor Manufacturing Co Ltd has reached a good starting point, while analysts at Morgan Stanley say Taiwan Semiconductor Manufacturing Co Ltd has reached a good starting point. Taiwan Semiconductor Manufacturing Co Ltd's share price is lower than even the valuation of the downward cycle, with a discount of 30 to 40 per cent.

• Windfall tax affects spending, Shell reviews its UK investment plan of 25 billion pounds

$Shell PLC (SHEL.US)$It will "evaluate" its UK investment plan of up to 25 billion pounds and push to change the expansion of windfall profits tax announced by the British government last week. David Bunch, chairman of Shell's UK business, said: "We will have to evaluate each project one by one. The more taxes you collect, the less disposable income you have in your pocket and the less you can invest. "

• Zoom's adjusted earnings per share in the third quarter was $1.07, below analysts' expectations and down 7% after hours.

$Zoom Video Communications (ZM.US)$Third quarter adjusted earnings per share of $1.07, analysts expected to be 83 cents; third quarter revenue of $1.1 billion, analysts expected $1.1 billion; fourth quarter revenue of $11.0-1.11 billion, analysts expected $1.12 billion; full-year revenue was expected to be $43.7-4.38 billion. The company had expected $439-4.4 billion Full-year adjusted earnings per share are expected to be $3.91-$3.94, compared with the company's previous estimate of $3.66-$3.69.

• Dell Technology Q3 revenue ratio fell 6%, infrastructure solutions revenue increased 12% year-on-year

On the morning of November 22nd Beijing time$Dell Technologies (DELL.US)$Announce the results for the third quarter of fiscal year 2023. According to the results, the company's Q3 revenue was $24.721 billion, down 6% from a year earlier and higher than the market expectation of $24.4 billion, while infrastructure solutions group (ISG) revenue reached a record $9.6 billion, up 12% from a year earlier, the seventh consecutive quarter of year-on-year growth. As of press time, the stock fell nearly 2% in after-hours trading.

• Morgan Stanley's Franck Petitgas will step down.

According to media reports$Morgan Stanley (MS.US)$Franck Petitgas, the head of international operations, will retire. Petitgas will continue to serve as a senior adviser to the bank and continue to represent the company in global events. It is reported that Petitgas has 30 years of capital market and investment career.

Yesterday's turnover of US stocks TOP20

The Prospect of Hong Kong City

• Kuaishou Technology increased his position in Beishui and bought HK $130 million from Meituan.

On Monday, southbound funds bought a net HK $4.717 billion of Hong Kong stocks, while TRACKER FUND OF HONG KONG, Hang Seng China Enterprises and Kuaishou Technology-W received a net purchase of HK $2.8 billion, HK $466 million and HK $248 million respectively, while China Resources Beer led the list with a net sale of HK $146 million.

Note: southbound funds sold a net sale of HK $43.72 million for Tencent, ending the previous net purchase of nearly HK $7.7 billion for five consecutive days, and a net purchase of HK $130 million for Meituan, ending the cumulative cumulative net sale of more than HK $6 billion for six consecutive days.

Focus today

Key words: Baidu, Inc. / Kuaishou Technology / iQIYI, Inc. and other financial reports

On Tuesday, in terms of economic dataInvestors can follow the euro zone's seasonally adjusted current account, the Richmond Fed manufacturing index, and so on.

Financial report$BIDU-SW (09888.HK)$、$KUAISHOU-W (01024.HK)$Results will be announced

Bloomberg unanimously expected Kuaishou Technology Q3 revenue of 22.6 billion yuan, an increase of 18.1% year-on-year, adjusted net profit of-1.75 billion yuan, a year-on-year narrowing of 63%, and an adjusted EPS of-0.395.

In addition$iQIYI (IQ.US)$、$Yatsen (YSG.US)$、$Luckin Coffee (LKNCY.US)$The results will be announced before the trading of US stocks.

Niuniu morning reading:

Adjustment will only make the stock market healthier.

-- William Gann