Global macroscopic
Before the Wednesday market, the three major US stock indices rose, and tech giant Meta will release financial reports after the market
CEO Komo: The US economy is booming, so there is no way to cut interest rates in the short term
After a series of recent economic data showed a strong US job market and healthy consumer demand, J.P. Morgan CEO Jamie Dimon expressed confidence in America's strong economic growth. But at the same time, he also hinted that this means it may be difficult to see the Fed cut interest rates in the short term. He warned that US inflation may continue more than expected by the market, which will keep the Federal Reserve interest rate high for a longer period of time.
Oak Capital Max: The Federal Reserve will not cut interest rates to ultra-low levels
While the market is eagerly awaiting the Federal Reserve to start cutting interest rates as soon as possible, Howard Max, co-founder of Oak Capital, said that the Federal Reserve will not lower interest rates to an ultra-low level, but he thinks this is a good thing. Max said on Tuesday that the current interest rate level of the Federal Reserve is an emergency measure to cool down the economy and inflation. “One day, we will announce that we will overcome inflation, and the Federal Reserve will reduce interest rates to a moderate and sustainable level. I think that will be around 3%.”
The options market group “eagles” are dancing wildly: fully betting that the Federal Reserve will not cut interest rates this year, or even raise interest rates!
According to the latest pricing in the interest rate swap market, current traders expect the Fed to cut interest rates by a total of about 40 basis points before the end of this year, which means the possibility of cutting interest rates by 25 basis points twice is slightly greater, but in the options market, some bold investors are betting that the Fed may not drop interest rates even once this year, and there is even no shortage of risks of restarting interest rate hikes. Before the US Federal Reserve's May interest rate meeting next week, many traders have already established options positions linked to the Guaranteed Overnight Financing Interest Rate (SOFR). The goal is to bet that the Federal Reserve officials will keep interest rates unchanged at the current high level after the December policy meeting.
“The world's second stock god” comments on the pullback in US stocks: in fact, it's a sign that the bull market continues!
Billionaire investor Kenneth Fisher, founder and co-chief investment officer of Fisher-Price Investments, said a few days ago that the recent sell-off in the stock market is not a reason for investors to flee the market; in fact, this is a sign that the bull market may rise further. He said that despite deteriorating investor sentiment, the stock market is still rising, and the recent pullback is only a minor episode in the bullish market.
Hot news
Most of Star Technology's stocks rose before the market
Tesla surged nearly 13% before the market, reaffirming that it will accelerate the launch of cheap models
despite$Tesla (TSLA.US)$Both revenue and profit fell short of expectations, and maintained the “significantly lower” automobile production/delivery growth rate guidelines in 2024, but the company said it would speed up the launch of cheaper, affordable models, and “punched” media reports on the development of Model 2 were cancelled a few days ago. Additionally, following the earnings conference, Martin Viecha, Tesla's long-time vice president of investor relations, announced that he would end his seven-year career at Tesla. This is also the third Tesla executive to announce his resignation in two weeks. As of press release, Tesla surged nearly 13% before the market.
Tesla throws the “pot” to hybrid, Musk: pure electric is the way forward!
On Tuesday local time,$Tesla (TSLA.US)$At the beginning of the first quarter earnings report, the electric vehicle giant pointed out that the entire industry is prioritizing these hybrid technologies, which is putting pressure on global electric vehicle sales and Tesla sales. Tesla wrote, “Although we have an advantage in regulating our credit business (which means generating revenue through the sale of carbon credits), we prefer that the entire industry can continue to promote the spread of electric vehicles, which is in line with our mission.”
Meta rose of nearly 3% before the market, and the Q1 earnings report hit a big hit after the market!
$Meta Platforms (META.US)$The Q1 earnings report will be announced after the US stock market on Wednesday. The market generally expects Meta to achieve revenue of US$36.223 billion in the first quarter, up 26.46% year on year; earnings per share of US$4.32, up 96.56% year on year. As of press time, Meta is up nearly 3% in the premarket.
Microsoft launched a lightweight AI model with performance comparable to GPT-3.5 but much cheaper!
On Tuesday EST,$Microsoft (MSFT.US)$A lightweight AI model, the Phi3-mini, was launched. Microsoft claims that the performance of this lightweight AI model is comparable to models such as GPT-3.5, and is also suitable for local use on mobile phones. More importantly, the model is much cheaper, which means it can attract a wider customer base through cost advantages.
Cash arrived: Trump received an additional 36 million shares of DJT, worth nearly 1.2 billion US dollars
$Trump Media & Technology (DJT.US)$There is a provision in the listing documents. If the company's stock price is higher than 17.5 US dollars for 20 trading days within any 30 trading days within the next three years, majority shareholder Trump will have the right to obtain an additional 36 million shares. On Tuesday, that milestone was easily reached. That means Trump will get this bonus. Based on the US stock closing price of $32.56 on Tuesday, Trump will receive $1.17 billion in new wealth.
Vertiv Holdings rose more than 17% in the premarket, with strong performance guidance
$Vertiv Holdings (VRT.US)$Q1 sales were US$1,639 million, up 8% year on year; annual sales were expected to be US$7.54 billion to US$7.69 billion, and the market expected US$7.52 billion to US$7.66 billion; annual earnings per share were expected to be US$2.29-2.35, and the market expected US$2.26. As of press time, Vertiv Holdings is up more than 17% in the premarket.
Texas Instruments rose nearly 7% before the market, and the Q1 earnings report was better than expected
$Texas Instruments (TXN.US)$Q1 revenue was US$3.66 billion, with analysts' expectations of US$3.61 billion; earnings per share of US$1.20 billion, with market expectations of US$1.07 billion; expected revenue of US$3.65 billion to US$3.95 billion for the next fiscal quarter, and analysts' expectations of US$3.78 billion. As of press release, Texas Instruments rose nearly 7% in the premarket.
Boeing rose more than 3% before the market, and Q1 net loss narrowed year-on-year
$Boeing (BA.US)$Q1 revenue was US$16.569 million, down 8% year on year; net loss was US$355 million compared with a net loss of US$425 million for the same period last year. As of press release, Boeing is up more than 3% in the premarket.
Focus on China Securities
Popular Chinese securities stocks generally rose before the market
Top 20 pre-market turnover of US stocks
US Stock Macro Calendar Reminder
(The following are all Beijing time)
20:30 Monthly rate of US durable goods orders in March
22:30 US EIA crude oil inventory for the week from April 19 (10,000 barrels) /US EIA strategic oil reserve inventory for the week from April 19 (10,000 barrels)
editor/tolk