On the evening of the 10th Beijing time, the US stocks opened slightly lower on Monday. Traders this week are waiting for the Fed's interest rate decision and May CPI inflation data. Nvidia's 1-for-10 stock split plan has officially taken effect. Apple's global developers conference (WWDC) will start on Monday.
As of the time of publication, the three major indices have fallen slightly:$Dow Jones Industrial Average (.DJI.US)$down 0.17%, $S&P 500 Index (.SPX.US)$down 0.24%, $Nasdaq Composite Index (.IXIC.US)$down 0.3%.
Nvidia is in the spotlight. Since the opening on Monday, the 1-for-10 stock split plan of the stock has taken effect, and the trading price per share after the split is about 120 US dollars. After the stock split, the overall value of Nvidia will not change, and the decline in the stock price per share will make it easier for investors to reach.
The stock rose by 10% last week, as the enthusiasm for the darling of artificial intelligence pushed this chip maker to break through a $3 trillion market cap for the first time.
The highly anticipated Apple Worldwide Developers Conference (WWDC) will open on June 10, 2024 and will last until June 14. Every year's WWDC is a major event in the technology industry, and this year's conference is particularly noteworthy. With the continuous development of artificial intelligence (AI) technology, how will Apple incorporate AI technology into its product line and become the biggest highlight of this conference.
It is reported that Apple will release a new generation of operating systems, including iOS 18, iPadOS 18, macOS 15, tvOS 18, watchOS 11 and visionOS 2. The updates to these operating systems will undoubtedly be the focus of users and developers. iOS 18 is considered the most important upgrade in history, bringing multiple AI functions.
Last week the US stock market performed positively, with the S&P 500 index rising 1.32%, the Dow rising 0.29% and the Nasdaq rising 2.38%.
The US Department of Labor reported on Friday that the May non-farm data was significantly stronger than market expectations, and the unemployment rate exceeded 4% for the first time in two years. The specific data shows that the seasonally adjusted non-farm employment population in the United States increased by 272,000 in May, significantly higher than the market expectation of 185,000.
After last Friday's May non-farm employment report continued to indicate that the Fed may postpone the rate cut, this week's latest Fed interest rate decision and May consumer price index to be announced on Wednesday may become a major test for the market.
With the cooling of the US labor market and the slowdown of inflation stickiness, the 'rate cut trade' may reignite after the Fed interest rate meeting in June.
Investors will closely monitor the Fed's latest forecasts on the timing and frequency of rate cuts. According to the Fed observation tool of the CME Group, the market is currently expected to cut interest rates only once this year, and the time will be November.
Seema Shah, Chief Global Strategist at Principal Asset Management, said: 'We still expect the Fed to cut interest rates in September. The positive news is that the US economy is far from recession when the labor market is so strong.'
Economists from Citigroup and JPMorgan changed their predictions after the non-farm employment report was released last week. They were among the few economists who previously expected the Fed to cut interest rates in July. Andrew Hollenhorst of Citigroup currently predicts that interest rates will be lowered in September, November, and December. Michael Feroli of JPMorgan expects the Fed to cut interest rates in November.
In foreign news, European stocks and currencies plummeted on Monday and the five-year European Parliamentary elections ended. Preliminary election results show that right-wing parties are rapidly rising in the European Parliament.
As the ruling parties in France and Germany have much lower support rates than right-wing parties in the European Parliament election, the increasing political anxiety in Europe may bring new pressure to the euro.
According to the latest poll results, the far-right National Union party in France won 31.7% of the vote, and the ruling party Renaissance party won 14.9% of the vote, ranking second.
The vote share of German's largest opposition party, the Alliance Party, and the far-right party Alternative for Germany exceeded that of the three parties in the ruling coalition. According to the latest preliminary statistics released by the European Parliament, the largest opposition party, the Alliance Party, composed of the Christian Democratic Union and the Christian Social Union, won 30.3% of the vote. The Social Democratic Party, where German Chancellor Schulz is located, won 14.1% of the vote, which is the worst result the party has received.
Focus stocks
Growth tech stocks fluctuated, with AMD falling more than 4%, Nvidia falling by about 2%, Apple slightly falling, and Broadcom rising more than 2%.
China concept stocks are divergent, with PDD Holdings and Alibaba up nearly 1%, and Li Auto Inc falling more than 1%.
$NVIDIA (NVDA.US)$Since the opening on June 10th, Nvidia's stocks have fallen by more than 2%. After the split adjustment, Nvidia's overall value is expected to remain unchanged, and the cheaper stock price per share will make it easier for investors to reach.
$Apple (AAPL.US)$Down nearly 1%. At 1:00 a.m. Beijing time on June 11th, WWDC 2024 is about to kick off at Apple Park. It is expected that Apple will release multiple AI services and features.
$CrowdStrike (CRWD.US)$, $KKR & Co (KKR.US)$KKR & Co stocks rose more than 8%.$GoDaddy (GDDY.US)$The stock continued to fall more than 4%, after plummeting more than 39% the previous trading day. On Friday, June 7th Eastern Time, 'the leader of retail investors' Keith Gill opened a YouTube live video broadcast.
$GameStop (GME.US)$The translation can not be generated since no text is provided within the given text.
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