On Thursday, the three major US stock indices fell broadly. The s&p 500 dropped by 0.16%, the nasdaq fell by 0.20%, and the dow jones industrial average decreased by 0.11%.

The October consumer price index released on Wednesday met expectations but indicated that the Federal Reserve's fight against inflation has not yet been won. Core CPI rose by 0.3% month-on-month for the third consecutive month, with a year-on-year increase of 3.3%.

Investors are assessing whether there is still room for further increases after major stock indices reached new milestones following Donald Trump's decisive election victory last week.

On Monday of this week, the dow jones industrial average closed above 44,000 points for the first time, and the s&p 500 closed above 6,000 points for the first time, with all three major indices reaching new highs.

Courtney Garcia, a senior wealth advisor at Payne Capital Management, expects that there is still upside potential for US stocks as investors take a wait-and-see approach in anticipation of more market certainty.

He stated: "I don’t think the upward trend in US stocks will necessarily end in the short term. However, given that funds taking a wait-and-see approach may enter the market, I believe there are many other opportunities in the stock market, with many sectors still having upside potential."

In economic data released on Thursday, initial jobless claims in the usa fell to the lowest level since May, indicating that employment demand remains strong despite recent storms and strikes.

The US Department of Labor reported that for the week ending November 9, the number of initial unemployment claims in the USA decreased by 4,000, falling to 0.217 million, while economists' median forecast was 0.22 million. The four-week moving average of continuing claims for unemployment benefits decreased to 1.87 million.

According to the US Bureau of Labor Statistics, the final demand producer price index (PPI) for October rose by 0.2% month-on-month, compared to an increase of 0.1% in the previous month. The median estimate was for a growth of 0.2%, with predictions from 51 economists ranging from a decrease of 0.1% to an increase of 0.4%;

The year-on-year growth of the final demand PPI was 2.4%, with an estimated growth of 2.3%; the year-on-year growth of the final demand PPI excluding food and energy was 3.1%, with an estimated increase of 3%.

Excluding food and energy, the final demand PPI rose by 0.3% month-on-month, with an estimated growth of 0.2%; excluding food, energy, and trade services, the final demand PPI increased by 0.3% month-on-month, with a year-on-year increase of 3.5%.

Federal Reserve Chairman Jerome Powell will deliver a speech on Thursday in Dallas, Texas.

Prior to this, Federal Reserve Governor Kugler stated on Thursday that policymakers must focus on both the Fed's inflation and employment objectives, noting that the labor market is cooling, and the rate of decline in inflation towards the Fed's 2% target has slowed.

In his prepared remarks, Kugler stated, "The ongoing but slowing anti-inflation trends combined with a cooling labor market mean we need to continue focusing on our dual mission."

She said, "If there are any obstacles to progress or risks of re-accelerating inflation, pausing rate cuts would be appropriate. However, if the labor market suddenly cools down, policy rates should continue to be gradually reduced."

Last week, the Federal Reserve lowered borrowing costs by 25 basis points, following a larger rate cut of 50 basis points in September. Given the strong economy, persistent inflation concerns, and general uncertainty, several Federal Reserve policymakers urged caution regarding further rate cuts in their comments this week.

The market is still assessing what impact the policies implemented after Trump's inauguration might have on the usa economy.

Analysts believe that Trump's promised tax cuts could stimulate the economy, but measures such as increasing the budget deficit and government borrowing, as well as raising import taxes, could also exacerbate inflation and reduce the Federal Reserve's room to loosen monetary policy.

Due to expectations that the Republicans may control both houses of Congress when Trump takes office in January next year, Trump is expected to have broad power to push forward his agenda.

David Kelly, the chief global market strategist at jpmorgan asset management, stated that Trump's aggressive trade policies could slow down the global economy and put upward pressure on inflation in the usa, highlighting risks that have been largely obscured during the market rebound following the usa elections.

Kelly stated: "The first smoke signal indicates that trade measures will be very aggressive, and there is almost no remedy for stagflation. Stagflation means rising inflation while the economy declines. Retaliatory measures will only worsen the situation for the entire world. Trade issues will trigger many conflicts. If you hit someone else's nose, they will retaliate. This is why they call it a trade war."

Focus stocks

• Growth tech stocks showed mixed performance.$Disney (DIS.US)$Rise by more than 8%. $ASML Holding (ASML.US)$Increased by more than 4%, $NVIDIA (NVDA.US)$Increased by more than 1%

• Semiconductor stocks rose broadly, $Taiwan Semiconductor (TSM.US)$ 、 $Applied Materials (AMAT.US)$ Increased by over 2%

• $Disney (DIS.US)$Increased by over 8%, fourth quarter financial report exceeded expectations

• $ASML Holding (ASML.US)$Increased by over 4%, reaffirmed the sales guidance for 2030 to be between 44 billion and 60 billion euros

• $Taiwan Semiconductor (TSM.US)$Up more than 2%, institutions expect the 3 and 5 nanometer utilization rates to remain at full capacity in the first half of next year.

• AI empowered! Software application giants.$Applovin (APP.US)$At one point during the session, it rose nearly 5%, with the stock price targeting 300 USD, setting a new historical high again.

Editor/ping