Hot news

• Federal Reserve Board: Uncertainty about the inflation outlook is increasing, now we should be patient

On Thursday local time, 2024 FOMC voting committee and San Francisco Federal Reserve Chairman Daly said that due to increased uncertainty about the inflation outlook, it is difficult to predict policies until the Federal Reserve receives more clear information, so she is inclined to wait. Daly said at an event, “(Calming down) inflation will be a bumpy process. What inflation will look like in the next few months is uncertain, and our reaction is not to make more predictions.”

• The most market-moving data! Standard Chartered: US CPI may be “surprised” to cool down in April

As of March, the US CPI had been growing higher than expected for five consecutive months, and the growth rate in April may have been lower than expected. Last week Powell optimistically predicted that future lower housing costs could reduce core inflation. According to a recent report by Steven Englander, chief foreign exchange strategist at Standard Chartered Bank, this optimism may be reasonable. If you closely observe housing costs, especially the CPI indicator related to housing inflation — equivalent rent (OER) for owner-occupied homeowners (OER), you will find that housing inflation may decline quickly and drive core inflation downward.

• Demand for long-term US debt has stabilized once again! US Treasury 30-year Treasury bond auction results are solid

On Wednesday local time, the US Treasury auctioned off 25 billion US dollars of 30-year treasury bonds. The overall results of the auction were steady and strong. Financial blogger ZeroEdge said that overall, the week ended successfully, and the market clearly acknowledged this because after the auction results came out, US bond yields slipped to an intraday low. This was an instinctive reaction to this week's ultra-long-term US bond auction.

• “My own people” are desperately trying to go short! The Big Seven US stocks faced a ferocious internal sell-off

According to data compiled by Bloomberg, nearly a dozen executives and directors of the Big Seven US stocks have recently stepped up their stock sell-off efforts. These sell-offs have made them profit of more than $160 million since the end of 2023, after not reducing their stock holdings for 9 years. Lloyd Grave, founder of Los Angeles Investment Bank Greif & Co., said, “They all know that pigs are slaughtered when they grow fat. No one can perfectly grasp the timing of the stock market peaking, and now the stock market really looks quite bubbly.”

• Biden warns that if Trump loses the election again, he will not be willing to accept the defeat

US President Joe Biden has warned that if his old rival, former President Donald Trump, loses this year's election, he will not be willing to accept the outcome of failure. Current polls show that the overall approval ratings for Biden and Trump are very close, but voters are more in favor of Trump's economic policies, and this is mainly related to the sharp rise in US inflation during Biden's administration.

• Well-known strategist: Japanese authorities are not looking for a strong currency

David Rocher, president of Independent Strategy and global strategist, said that the Japanese authorities are not looking for a strong yen; they just want a relatively stable currency. He said that apart from Japan's tightening monetary policy, nothing else really strengthens the yen. He also added that in terms of monetary policy, interest rates will be raised by at least 50 basis points, and that “non-cancelling intervention” will also be carried out on the yen exchange rate.

Resumption of US stock trading

• The three major indices collectively closed higher, and Amazon continued to reach new highs

The three major US stock indices collectively closed higher. The Dow rose 0.85% and recorded seven consecutive daily gains. The S&P 500 index rose 0.51%, and the NASDAQ rose 0.27%.

Most Star Tech stocks rose; Apple rose 1%; Amazon, Meta, Google, Microsoft, Intel, and Netflix rose slightly; Tesla and Nvidia fell more than 1%. Among them, Amazon reached another record high.

Popular Chinese securities generally rose, and the Nasdaq China Golden Dragon Index rose 1.64%. Xiaopeng Motors rose more than 3%, Bilibili and NIO rose more than 2%, NetEase, JD, Alibaba, and Baidu rose more than 1%, and Tencent Music and iQiyi rose slightly. Pinduoduo fell 2%.

• Apple's latest revelation: AI functions will be launched in the cloud through self-developed chips

According to media reports,$Apple (AAPL.US)$Artificial intelligence (AI) capabilities will be launched this year through data centers equipped with self-developed chips. Well-known technology journalist Mark Gurman said that Apple will deploy high-end chips in cloud computing servers to handle the most advanced AI tasks on Apple devices, while simpler AI-related functions will be handled directly by the chips built into the iPhone, iPad, and Mac. He also said that Apple currently plans to use its own data center to run cloud functions, but it will eventually rely on external facilities, just like iCloud and other services.

• Roblox, the “first stock in the metaverse”, plummeted by more than 22%, lowering full-year reservation expectations

“The first stock in the metaverse”$Roblox (RBLX.US)$The average daily active users (DAU) for the first quarter was 77.7 million, up 17% year over year, the lowest growth rate since the launch in 2021. Roblox lowered its full-year reservation forecast from US$4.14 billion to US$4.1 billion, while the market forecast was US$4.19 billion; it also anticipated that bookings for the second quarter would be between US$855 million and US$880 million, and the market forecast was US$934.9 million. By the close, Roblox had plummeted by more than 22%.

• Airbnb fell nearly 7%, and Q2 revenue outlook fell short of expectations

$Airbnb (ABNB.US)$Q1 revenue was US$2.142 billion, up 17.82% year over year, better than market expectations; earnings per share of $0.41 were also better than market expectations. However, the Q2 revenue forecast announced by Airbnb was 2.68 billion to 2.74 billion US dollars, lower than analysts' expectations of 2.74 billion US dollars. The company attributed the reason to early 2024 Easter holidays and exchange rate headwinds. By the close, Airbnb was down nearly 7%.

• The US SEC takes action! Boeing's legal woes intensify

The US Securities and Exchange Commission (SEC) is reviewing$Boeing (BA.US)$A statement about safety measures for a 737 Max 9 aircraft following an accident that almost led to a tragedy in January of this year. According to several people familiar with the matter, the US SEC investigation focused on whether the remarks made by Boeing and its executives violated SEC regulations and misled investors.

• “Nvidia concept stock” SoundHound AI surged more than 15% after the market, and the Q1 earnings report exceeded expectations

“Nvidia Concept Stock”$SoundHound AI (SOUN.US)$Q1 revenue was USD 11.6 million, exceeding market expectations of USD 10.97 million; adjusted loss per share was USD 0.07, and the market expected loss of USD 0.09 per share. As of press time, SoundHound AI surged more than 15% after the market.

Top 20 US stock turnover

Hong Kong Market Outlook

• Beishui sells Hong Kong stock ETFs and increases China Mobile's position by more than HK$200 million

On May 9 (Thursday), Southbound Capital sold Hong Kong stocks at a net sale of HK$4.17 billion.

$CHINA MOBILE (00941.HK)$,$ICBC (01398.HK)$,$CCB (00939.HK)$Received net purchases of HK$247 million, HK$150 million and HK$53.56 million respectively;

$TRACKER FUND OF HONG KONG (02800.HK)$,$HSBC HOLDINGS (00005.HK)$,$MEITUAN-W (03690.HK)$Net sales were HK$4.7 billion, HK$909 million and HK$267 million respectively.

Today's attention

Keywords: US inflation rate expectations for May 1, University of Michigan consumer confidence index; Federal Reserve Governor Bowman and San Francisco Federal Reserve Chairman Daly delivered speeches

On Friday, in terms of economic data, important data such as the US inflation rate forecast for the first year of May and the US University of Michigan consumer confidence index for May are worth paying attention to.

In terms of the incident, Federal Reserve Governor Bauman will deliver a speech on financial stability risks at 21:00 Beijing time on Friday.

Futubull Chen read:

If you want to convince others, resort to profit rather than reason.

—Charlie Munger

editor/tolk