纳斯达克综合指数月线图In Regular Trading Hours on Wednesday, the Nasdaq broke the 20,000 point mark historically, with an annual increase of over 33%. The S&P 500 Index and Dow Jones Industrial Average had annual increases of 27% and 17%, respectively. The seven giants collectively rose, with Apple, Amazon, Google, Meta, and Tesla reaching intraday historical highs. The November inflation data in the USA met expectations, with the market anticipating a greater than 90% chance that the Federal Reserve will cut interest rates by 25 basis points next Wednesday.
According to the Financial Associated Press on December 12 (Editor Zhao Hao), on Wednesday (December 11) during Regular Trading Hours, technology stocks strengthened across the board, driving the Nasdaq Composite Index historically beyond the 20,000 point threshold.
As of publication, the Nasdaq is up over 1.7%, currently reported at 20,031 points, with a cumulative increase of over 4% this month and an annual increase exceeding 33%. Meanwhile, the S&P 500 Index and Dow Jones Industrial Average rose by 0.87% and 0.02%, with annual increases of 27% and 17%, respectively.
Monthly Chart of the Nasdaq Composite Index.
It is worth mentioning that as early as the beginning of this year, Dan Ives, a star Analyst from investment bank Wedbush, predicted that US technology stocks are expected to rise further by 25% in 2024, with the Nasdaq Index possibly breaching the 20,000 point mark.
In the components of the Nasdaq, the ratio of rising to falling stocks is about 1,700 to 1,600, which indicates that a significant part of the Index's rise is attributed to the strength of heavyweight stocks. The SPDR Technology Sector Select Index ETF (XLK) rose over 1.5%.
The 'seven giants' rose collectively, among which Apple, Amazon, Google, Meta, and Tesla all reached intraday historical highs. Google saw the largest increase and is expected to rise for four consecutive days; two days ago, the company announced it had developed a chip with strong computing power suitable for quantum computers.
Broadcom, one of the Nasdaq's heavyweight stocks, rose 5.2%. Technology media reported that insiders revealed Apple is developing a server chip specifically designed for AI and is collaborating with Broadcom on the network technology for the chip.
On the macro level, the inflation data for November released by the U.S. Department of Labor before the market opened was almost entirely in line with market expectations, prompting traders to increase their bets on interest rate cuts by the Federal Reserve. The CME's "FedWatch" tool indicates that the market expects over a 90% probability of a 25 basis point rate cut by the Fed next Wednesday.
Tom Hainlin, a senior investment strategist at U.S. Bank Asset Management, predicts that there will be no surprises in the Fed's December meeting regarding interest rate cuts, stating, "The market has been strengthening, and there are no factors to hinder its continued rise before the end of the year."
The previous day, the National Federation of Independent Business (NFIB) announced that the small business confidence index for November rose by 8 points to 101.7, the highest level since June 2021. Analysts believe that small businesses in the USA have a favorable view of President-elect Trump.
Sources reveal that Trump is expected to arrive in New York later on Wednesday local time and is anticipated to ring the opening bell at the New York Stock Exchange on Thursday morning.
