Hot news

• The Federal Reserve is clearly divided: the big doves support cutting interest rates three times, and the two voting committees emphasize prudence

On Monday local time, Chicago Federal Reserve Chairman Goulsby said that he expects to cut interest rates three times this year. Atlanta Federal Reserve Chairman Bostic reiterated his expectation that interest rates would be cut only once this year, adding that as long as the economy is doing well, the central bank can be patient. Federal Reserve Governor Cook said that the central bank must take a cautious approach to cutting interest rates in order to provide more time for inflation to slow down in some areas of the economy.

• alert! Buffett's favorite market indicator soared 184%

“Stock god” Buffett's favorite market indicator suddenly comes with a dangerous warning. According to the latest data, the “Buffett Index” has soared to 184%, the highest point in nearly two years. Buffett has warned that if you buy stocks when the indicator is close to 200%, you are “playing with fire”; when the indicator soars to a record high, it is a very strong warning sign that a collapse is imminent. The “Buffett Index” is a value obtained by dividing the total market value (Wilshire 5000 Index) of all actively traded US stocks by the US gross domestic product (GDP) for the latest quarter.

• Support the price of oil! Russia requires oil companies to comply with production reduction targets

International oil prices rose on Monday due to heightened tension between Russia and Ukraine and the Middle East. During the US market, sources said that the Russian government has ordered companies to reduce oil production in the second quarter to ensure that production cuts are reduced to 9 million barrels per day by the end of June, thereby fulfilling their commitment to OPEC+.

• After the biggest weekly decline in half a year, Bitcoin's sharp rise once returned above $71,000

On Monday, Bitcoin reversed last week's decline, and spot Bitcoin ETFs surged about 11% across the board. The main contract for CME Bitcoin futures BTC was reported at $71,075, up 6.84% from the end of the New York session last Friday, and traded in the $66390-71,425 range during the intraday period. The mysterious buyer of Bitcoin known as “Mr. Whale” and “Mr. 100” took action again. Data from the weekend showed that the buyer had bought all the bitcoins that had been mined in the past two days. As of press time, the latest Bitcoin report was $6,930 per coin.

Resumption of US stock trading

• The three major indices closed down slightly, and Nvidia hit a new closing high

At the close, the S&P 500 fell 0.31% to 5218.19 points; the NASDAQ index fell 0.27% to 16384.47 points; and the Dow Jones Industrial Average fell 0.41% to 39313.64 points.

The supertech giants had mixed ups and downs. Apple fell 0.83%, Microsoft fell 1.37%, Amazon rose 0.47%, META fell 1.29%, Google-A fell 0.46%, Tesla rose 1.05%, Nvidia rose 0.76% to reach a new closing high, and Intel fell 1.74%.

The Nasdaq China Golden Dragon Index fell 0.07%, Alibaba fell 0.93%, Baidu rose 3.41%, Pinduoduo fell 2.54%, JD rose 1.13%, NetEase fell 1.9%, NIO rose 0.41%, and Ehang Intelligence fell 6.46%.

• The EU's “Digital Market Act” shines, pointing directly at Google, Apple, and Meta

On Monday local time, the European Commission announced on its official website that it will$Alphabet-A (GOOGL.US)$/$Alphabet-C (GOOG.US)$,$Apple (AAPL.US)$und$Meta Platforms (META.US)$The investigation was launched, and this is also the first “bright sword” since the Digital Market Act (DMA) was fully implemented. The European Commission investigated Alphabet's redirection rules in Google Play and preferences in Google Search, Apple's redirection rules in the App Store, Safari's 'browser selection screen', and Meta's 'payment or consent mode' based on the DMA.

• Apple is riddled with negativity, but Damo is still bullish: the market has underestimated AI plans

$Apple (AAPL.US)$Recently, facing internal and external problems, Apple's stock price has fallen by more than 11% so far this year due to a large amount of negative information, which is the worst performance in the past 10 years. However, Damo believes that the market has underestimated Apple's Edge AI (Edge AI) plan, and that this year's WWDC conference and the AI-based iPhone upgrade cycle should be enough to offset concerns about second-quarter results and the negative impact of the US Department of Justice's antitrust lawsuit, and the lawsuit is not a recent risk.

• Investment banks frequently cut Tesla's target price, and Toyota's sharp rise may reflect alternating attacks and defenses between oil and electricity

Ahead of the US stock market on Monday, Mizuho announced that it will$Tesla (TSLA.US)$The stock rating was downgraded from “buy” to “neutral,” and the target price was also lowered from $270 to $195 per share. Looking at this month, there are not a few investment banks that have lowered Tesla's target price, including Morgan Stanley, Deutsche Bank, Wells Fargo, UBS, and Goldman Sachs. The lowest of these was $128 offered by Wells Fargo, which is 25% lower than Tesla's current stock price.

• Boeing's leadership will be restructured, CEO plans to resign

On Monday local time,$Boeing (BA.US)$Announcing plans for leadership reshuffle. Among them, Dave Calhoun, the company's president and CEO, announced that he plans to leave the troubled company and make major changes to the company's leadership before the end of this year. Additionally, Stan Deal, president and CEO of Boeing's subsidiary Boeing Commercial Aircraft Group (BCA), will retire from the company, and Boeing Chairman of the Board Larry Kellner will not run for re-election at the Annual General Meeting of Shareholders. Driven by favorable management changes, Boeing's stock price rose nearly 3% at the beginning of Monday, and finally closed up 1.36%.

• Novo Nordisk lays out the cardiovascular sector through mergers and acquisitions

On Monday local time, the Danish pharmaceutical giant$Novo-Nordisk A/S (NVO.US)$It was announced that Cardior Pharmaceuticals will be acquired at a price of 1.03 billion euros. The company focuses on the development of heart failure treatment and preventive drugs based on non-coding RNA (ncRNA). The lead compound CDR132L under development can improve heart function, stop and partially reverse the disease progression in heart failure patients, and is currently in phase II clinical development to treat heart failure.

• Trump Media Tech Group hits NASDAQ on Tuesday

With “Shell” last Friday$Digital World Acquisition Corp (DWAC.US)$The shareholders' meeting successfully voted. Trump Media Technology Group, whose main business is Truth Social's social media platform, issued an announcement on Monday stating that the reverse takeover and listing transaction between the two parties has been completed. Starting Tuesday, Trump Media Technology Group, which has completed a “backdoor listing”, will be listed and traded on the NASDAQ exchange under the trading code “DJT.” According to public information, Trump will continue to hold nearly 60% of the shares in the listed company after listing, and the sales limit period is 6 months. Influenced by hype, DWAC closed up 35.22% to $49.95 on Monday.

• Electric car company Lucid receives another injection from Saudi Sovereign Fund

$Lucid Group (LCID.US)$On Monday, it was announced on the official website that an agreement has been reached with major shareholders. Ayar Third Investment Company, a subsidiary of the Saudi Public Investment Fund (PIF), will purchase 1 billion US dollars of convertible preferred shares. This money will be used to supplement the company's operating capital. The news boosted the company's stock price by more than 20% in the intraday period, but eventually narrowed to 5.42% at the close.

Top 20 US stock turnover

Hong Kong Market Outlook

• Beishui increased Xiaomi's inventory of nearly HK$400 million, drastically selling Hong Kong stock ETFs

On March 25 (Monday), Southbound Capital sold Hong Kong stocks at a net sale of HK$6.344 billion.

$XIAOMI-W (01810.HK)$,$CHINAHONGQIAO (01378.HK)$,$CHINA MOBILE (00941.HK)$Received net purchases of HK$370 million, HK$267 million and HK$250 million respectively;

$TRACKER FUND OF HONG KONG (02800.HK)$,$Hang Seng H-Share Index ETF (02828.HK)$,$CSOP Hang Seng TECH Index ETF (03033.HK)$Net sales were HK$7.222 billion, HK$1,631 million and HK$1,017 billion respectively.

• Rumor has it that Baidu will provide AI functions for Apple Bank of China devices

According to a report by the “Science and Technology Innovation Board Daily” on Monday, people familiar with the matter revealed,$BIDU-SW (09888.HK)$It will be$Apple (AAPL.US)$The iPhone 16, Mac system, and iOS 18 released this year provide AI functionality and are expected to be billed using an API interface. Apple uses domestic big model AI functions for devices such as the Bank of China's iPhones mainly due to compliance requirements, and the AI functions of foreign devices all come from Apple's own big models. Notably, US stocks$Baidu (BIDU.US)$It closed up more than 3% overnight.

Today's attention

Keywords：American Chamber of Commerce Consumer Confidence Index; US Housing Price Index Annual Rate

On Tuesday, there are relatively few major data to pay attention to. The annual rates of the US Chamber of Commerce Consumer Confidence Index and the Housing Price Index for the 20 US Cities will be announced.

In terms of financial reports, Hong Kong stocks$BYD COMPANY (01211.HK)$,$CHINA TELECOM (00728.HK)$,$WUXI BIO (02269.HK)$The latest quarterly earnings report will be announced later today. In terms of US stocks,$GameStop (GME.US)$The results of the US stock market will be announced after today's market, and the Chinese stock market will be announced$Zhihu (ZH.US)$Earnings will be released before the US stock market.

In 2023, BYD sold 3.02 million cars for the whole year, and the market price in forecast is that in 2024, BYD's sales volume should be above 4 million. Also, at the beginning of the new year, BYD made big moves one after another. First, the price of Qin PLUS was directly reduced to 78,900, then the price of the Han Tang Honor Edition was also drastically reduced, impacting the middle and high-end markets. BYD faces the challenges of fierce competition in the industry and low net interest rates. This performance has attracted market attention.

Also, the 2024 Annual Meeting of the Boao Forum for Asia will be held in Boao, Hainan from March 26th to 29th.

Futubull Chen read:

One must understand the interaction of reason and emotion as they alternately influence the market.
—Bernard Baruch

edit/ruby