Hot news

• Fed policymakers use 'megaphone' to speak out: Maintaining an open attitude towards no rate cuts in November.

Early Friday morning Beijing time, Nick Timiraos, a well-known macro reporter known as the "Federal Reserve megaphone," posted that Raphael Bostic, the Atlanta Fed president and FOMC voting member, revealed in an interview on Thursday that he holds an open attitude towards not cutting interest rates in the November meeting, or only cutting by 25 basis points, depending on the development of the economic outlook. Following these remarks, CME's "FedWatch" tool shows that the probability of no rate cuts in November has risen from around 10% earlier to 20%.

• Fed's 'three chief officials' spoke out: advocating gradual interest rate cuts to neutrality, helping achieve a win-win situation for inflation and employment.

New York Fed President John Williams has recently stated that since the risks of achieving inflation and employment goals have achieved a better balance, policymakers should gradually lower interest rates to a more neutral level over time. Williams noted that the labor market has cooled somewhat in the past year but remains robust, which should provide the Fed with room to adjust rates to a level that neither pressures the economy nor stimulates it.

• The September U.S. CPI exceeded expectations, leading to a potential slowdown in rate cuts, but the downward trend in inflation has not changed.

The US Bureau of Labor Statistics announced on Thursday that the US CPI in September rose by 2.4% year-on-year, slightly lower than the previous value of 2.5%, but higher than the expected value of 2.3%; the core CPI in September (excluding volatile food and energy costs) rose by 3.3% year-on-year, slightly exceeding the expected and previous value of 3.2%. Most Wall Street analysts believe that the September CPI data is mixed, although it reinforced the expectation that the Federal Reserve will slow down the pace of interest rate cuts, ruling out a significant 50 basis point rate cut, but it will not change the Fed's judgment that inflation is still in a declining trend.

• The unexpected strong demand for the 30-year U.S. bond auction has hit historical highs, fueled by overseas demand!

On Thursday, the US Treasury auctioned 30-year Treasury bonds with a winning bid yield of 4.389%, a significant increase from the previous month's 4.015%, and the highest level since July this year at 4.405%, but this was not surprising to the market. The pre-issuance yield for this auction was 4.404%, 1.5 basis points higher than the final winning bid yield, with no signs of weak demand in the tail spread. This is the first time since June that there has been no tail spread in a 30-year US bond auction.

Gamestop's surge has dramatically narrowed, with the trading platform considering unplugging the internet of US retail investors.

• The three major indices rose slightly at the close, and Chinese concept stocks stopped falling and rebounded.

With the combination of US economic data showing "higher-than-expected inflation + unexpectedly cooling labor market", the US stock market, which had just hit a new high, paused, curiously watching the statements of Federal Reserve officials.

The market did not view this set of data as a disaster. By the close on Thursday, the S&P 500 index fell by 0.21%; the Nasdaq index fell by 0.05%; and the Dow Jones Industrial Average fell by 0.14%.

US tech giants saw mixed movements, with Meta falling by 1.13%, Intel by 1.02%, Tesla by 0.95%, Microsoft by 0.39%, Apple by 0.22%, Google-A up by 0.14%, Amazon up by 0.8%, and NVIDIA up by 1.63%.

Chinese concept stocks stabilized and rose. At the close, Miniso rose by 2.32%, Ctrip rose by 2.29%, Alibaba rose by 1.29%, XPeng rose by 0.96%, JD.com rose by 0.89%, PDD Holdings rose by 0.08%, NIO Inc fell by 0.79%, NetEase fell by 1.12%, Li Auto Inc fell by 3.76%.

• Robotaxi Day has arrived, determining the fate of tesla and the reputation of Musk.

On Thursday evening, October 10th local time in California, corresponding to 10:00 a.m. on October 11th Beijing time, Tesla will hold the highly anticipated self-driving taxi business Robotaxi launch event, Robotaxi Day, where the physical vehicle called Cybercab will make its first appearance.

As of press time,$Tesla (TSLA.US)$After hours up 0.42%.

• AMD released AI chip as a competitor to Nvidia, causing a drop in the stock price.

At the new product launch event held on Thursday,$Advanced Micro Devices (AMD.US)$Introducing a series of new products such as the MI325X AI accelerator, the fifth-generation EPYC "Turing" series server CPU, and previewing the launch of the new generation MI355X chip next year. However, as the event took place, AMD's stock price plummeted, ultimately closing down 4%.

• Intel launches the first AI PC desktop processor, Core Ultra 200S.

$Intel (INTC.US)$Officially launched the Intel Core Ultra 200S series processor family, extending the AI PC functionality to the desktop platform. This processor family includes 5 unlocked desktop processors such as the Intel Core Ultra 9 285K processor, with up to 8 brand new high-speed performance cores and up to 16 brand new energy-efficient cores. Compared to the previous generation, single-thread speed has increased by 6% and multi-thread speed has increased by 14%.

• Morgan Stanley: The performance improvement of the Blackwell GPU produced by Blackwell seems "quite strong".

Morgan Stanley analyst Joseph Moore, along with Huang Renxun and others, released a report after a high-level meeting, stating that the AI chip giant is preparing to launch its Blackwell series GPU, with a significant performance improvement in production. Despite the shipping delays that caused a stir this summer, these issues have now been resolved. Moore reiterated confidence in NVIDIA's "tens of billions of dollars in Blackwell revenue" in the (next) January quarter.$NVIDIA (NVDA.US)$Morgan Stanley: Blackwell GPU's production upgrade appears to be quite strong. After a high-level meeting, analyst Joseph Moore mentioned with Huang Renxun and others that the AI chip giant is preparing to launch its Blackwell series GPU, with a significant production upgrade. For the shipping delays that caused a sensation this summer, these issues have now been resolved. Moore reiterated confidence in NVIDIA's "tens of billions of dollars in Blackwell revenue" in the (next) January quarter.

NVIDIA also assured him that they have no concerns about the supply of HBM3e and are 'very confident' in introducing Samsung as a third supplier.

• The weight loss platform's stock price has been rising continuously after providing a 'budget version of the GLP-1 drug.'

An old-time American weight loss platform.$WW International (WW.US)$After offering the 'composite version of semaglutide' on Tuesday, the stock price has been continuously rising. Including yesterday's 22.50% increase, the cumulative increase this week is close to 150%. The official website states that the composite version of the weight loss drug costs $129 for the first month and $189 per month from the following month. In comparison, Wegovy costs $1349 for one month.

• The German antitrust agency has ended the lawsuit against Meta for agreeing to adjust the way it uses user data.

The German antitrust agency, the Federal Cartel Office (FCO), stated on Thursday that$Meta Platforms (META.US)$After agreeing to take measures to address related concerns, the agency has ended the lawsuit against its data usage practices. The chairman of the regulatory agency stated: 'One key point is that using Facebook no longer requires consent to collect and distribute data to your own user account without restrictions, even if this data was not actually generated within the Facebook service.'

• USA industrial gas giant Air Products has caught the attention of a hedge fund again! This time it's D.E. Shaw.

Global renowned hedge fund D.E. Shaw announced on Thursday that it has accumulated about $1 billion worth of shares in the American industrial gas giant.$Air Products & Chemicals (APD.US)$and become the second largest activist investor in the company.

• Toronto-Dominion Bank fell more than 5%, agreeing to pay $3 billion to settle anti-money laundering investigations.

$The Toronto-Dominion Bank (TD.US)$The company announced partnerships with the United States Currency Supervision Bureau, the Federal Reserve, the Financial Crime Enforcement Network, and the Department of Justice, reaching a total settlement of $3.09 billion to resolve investigations into the bank's anti-money laundering practices by U.S. law enforcement agencies, and agreed to make improvements.

Northeast Securities' review yesterday

• Beishui aggressively acquired over 2.9 billion Hong Kong dollars in Alibaba, purchased over 1.2 billion Hong Kong dollars in China Mobile, and bought over 0.5 billion Hong Kong dollars in Ping An Insurance.

On October 10th (Thursday), the southbound funds net purchased Hong Kong stocks worth 10.557 billion Hong Kong dollars.

$BABA-W (09988.HK)$,$CHINA MOBILE (00941.HK)$,$PING AN (02318.HK)$Net purchases of 2.916 billion Hong Kong dollars, 1.258 billion Hong Kong dollars, and 0.507 billion Hong Kong dollars respectively.

$SMIC (00981.HK)$,$MEITUAN-W (03690.HK)$,$SUNAC (01918.HK)$Net sales of 0.108 billion Hong Kong dollars, 0.104 billion Hong Kong dollars, 52.02 million Hong Kong dollars respectively.

The company's overall sales volume in 2023 was 18,000 kiloliters, with a year-on-year increase of 28.10%, indicating significant growth. In terms of product structure, the operating income of products worth 10-30 billion yuan were 401/1288/60 million yuan respectively.

Keywords: hk->sz market closed, usa September PPI annual rate, Federal Reserve speech, bank stocks performance, Robotaxi debut

On Friday, in terms of economic data, the USA will release September PPI annual rate and monthly rate, October one-year expected initial inflation rate, October University of Michigan consumer confidence index initial value.

On the financial front, Chicago Fed President Gülsby and Fed Governor Bauman attended the 18th Annual Community Bankers Conference, while Dallas Fed President Logan participated in an expert panel discussion.

In terms of performance, a new round of financial reports by American companies officially kicks off, $Blackrock (BLK.US)$Please use your Futubull account to access the feature.$JPMorgan (JPM.US)$Please use your Futubull account to access the feature.$Bank of New York Mellon (BK.US)$ scheduled to announce the latest results before the US stock market opens.

Stock-specific major event, on October 11th, Beijing time, $Tesla (TSLA.US)$ will hold a Robotaxi (self-driving taxi) launch event and will also showcase its plans to release a self-driving car dedicated platform in the coming years. Musk confirmed on social media that this will be Tesla's "most important moment".

Also on Friday, Nvidia's main competitor— $Advanced Micro Devices (AMD.US)$ will hold "Advancing AI 2024" event, showcasing the 5th generation AMD EPYC server processor as well as advancements in networking and AI PC, with a focus on introducing the AI solution ecosystem.

Market closure arrangement, due to the Double Ninth Festival, the Hong Kong stock market will be closed for a day, and the southbound and northbound trading will be closed.

Futubull Morning News:

I never gamble when probability is not on my side.
"- Charlie Munger"

Editor/ping