Hot News

• The probability of the Federal Reserve maintaining interest rates in January next year is 91.4%.

According to CME's "Fed Watch": the probability that the Federal Reserve will maintain interest rates unchanged in January next year is 91.4%, and the probability of a 25-basis-point rate cut is 8.6%. By March next year, the probability of maintaining the current rate unchanged is 52.1%, the cumulative probability of a 25-basis-point rate cut is 44.2%, and the cumulative probability of a 50-basis-point rate cut is 3.7%.

• Powell's 'Christmas Gift': US long-term bond yields reach a seven-month high.

The annual Christmas festival has arrived, and there is 'bad news' from the US bond market, as long-term bond yields have hit a seven-month high, all attributed to Powell's 'Christmas gift' - hawkish interest rate cuts. Last week, the Federal Reserve lowered its interest rate cut forecast, indicating there will only be two cuts in 2025, down from the four cuts hinted at in September. The futures market currently expects the federal funds rate to reach around 4% by the end of next year, suggesting one to two interest rate cuts. Overnight, the yield on the US 10-year benchmark Treasury bond broke through 4.6%, the highest since May.

• State Council: Expand the scope of special bonds to include low-altitude economy, computing power equipment, and infrastructure for auxiliary equipment.

Recently, the General Office of the State Council issued the 'Notice on Optimizing and Improving the Management Mechanism of Local Government Special Bonds' (hereinafter referred to as 'Notice'). The 'Notice' emphasizes expanding the use of special bonds as project capital. It implements a 'positive list' management approach for the scope of special bonds used as project capital and includes information technology, new materials, bio-manufacturing, digital economy, low-altitude economy, quantum technology, life sciences, commercial aerospace, etc., in the scope of use of special bonds as project capital.

• Famous Analyst warns: the Technology bubble is approaching a "critical point", be wary of large hedge funds selling off.

As 2024 comes to a close, Technology Stocks continue to provide "ammunition" for the US stock market, yet recently, an Analyst has warned that the tech bubble in the US is approaching a "critical point," and a sell-off by large hedge funds may be imminent. Recently, Steven Jon Kaplan, CEO of the True Contrarian blog and newsletter, reiterated his "contrarian bet" on Technology Stocks, asserting that despite his predictions not materializing yet, he believes the tech bubble in the US is now larger.

• In 2024, a wave of resignations among CEOs of listed companies in the USA has begun.

Despite the stock market boom bringing substantial salary rewards, many Company Executives in USA have chosen to resign due to concerns about potential turbulence in 2025. According to consulting firm Challenger Gray, as of November 2023, 327 CEOs of US-listed companies have announced their departure, surpassing the previous record of 312 in 2019.

• Governor Ueda of the Bank of Japan: Inflation will be closer to the target next year, and the timing for the next interest rate hike will come.

Kazuo Ueda, Governor of the Bank of Japan, stated on Wednesday that he expects Japan's economy to be closer to sustainably achieving the central bank's 2% inflation target next year and hinted that the timing for the next interest rate hike is approaching. However, at the same time, he warned that it is necessary to carefully study the impact of the "high uncertainty" surrounding the overseas economy, especially the economic policies of the incoming US President Donald Trump. Additionally, Ueda pointed out that next year's prospects for wage negotiations between Japanese businesses and labor unions will also be crucial.

• Russian Finance Minister: Russia has started using Bitcoin in foreign trade.

On Wednesday, December 25, Russian Finance Minister Siluanov stated that Russian companies have begun using Bitcoin and other Digital Currencies in international payments. This year, Russia relaxed its restrictions on Cryptos, allowing their use in foreign trade and legalizing cryptocurrency mining.

News of individual stocks

• US stocks were closed yesterday for the Christmas holiday and opened normally today.

• Attraction crushes the broad Index! In 2024, individual investors net bought 29.8 billion USD of NVIDIA Stocks.

Bearing the title of the largest ETF in the world, the Imperium Crown.$SPDR S&P 500 ETF (SPY.US)$This year, once again, it fell short of the title of 'favorite symbol of individual investors in US stocks.' Last year, it was.$Tesla (TSLA.US)$Having been trampled upon, it was again overtaken by the leader of AI in the past year.$NVIDIA (NVDA.US)$Crushed completely. According to statistics from the research institution Vanda Research, as of the 17th of this month, individual investors have net purchased a total of 29.8 billion USD worth of NVIDIA stocks this year, nearly twice that of the SPY Fund (net purchase of 15.3 billion USD).

• Valuation breaks 40 billion USD! xAI has raised 12 billion in funding in one year, with NVIDIA and AMD already in the game.

In a bid to surpass OpenAI, Musk is going all out in "Fast and Furious" mode. Recently, the technology sector welcomed another heavyweight announcement, as xAI announced a new Series C funding round securing 6 billion USD. This time, the investment lineup has been further upgraded, as revealed in the latest investment roster from xAI.$NVIDIA (NVDA.US)$、$Advanced Micro Devices (AMD.US)$、$Morgan Stanley (MS.US)$Including all, a total of 97 individuals or institutions participated.

• "The first stock of lunar infrastructure"! Intuitive Machines has received a new order from NASA, with a year-to-date increase of 550%.

USA Space Exploration Company - Intuitive Machines.$Intuitive Machines (LUNR.US)$A glorious year for Intuitive Machines continues. On Monday, the Houston-based company announced that it has signed more contracts with NASA's Near Space Network (NSN) program. CEO Steve Altemus stated in a press release that these contracts will allow the company to fully leverage the maximum potential value of the Near Space Network program, which is up to $4.82 billion.

• United States Steel's acquisition proposal has received support from local officials, and Nippon Steel's president urges Biden to approve the deal.

Nippon Steel President Tadashi Imai stated on Wednesday that its acquisition...$United States Steel (X.US)$The proposal received support in the region where the United States Steel plant is located. Nippon Steel has made multiple commitments to address the National Security concerns of the U.S. Committee on Foreign Investment, adding that there has been progress in understanding between both parties. Next Monday, the decision on whether the U.S. Committee on Foreign Investment will approve or block the $15 billion deal will be submitted to President Biden, who will have 15 days to make a decision.

• Eli Lilly and Co's Tirzepatide has been recommended as a weight-loss drug by United Kingdom regulatory authorities.

The drug cost-effectiveness watchdog in the United Kingdom – the National Institute for Health and Care Excellence (NICE) – formally recommended.$Eli Lilly and Co (LLY.US)$the GLP-1 drug Tirzepatide as a weight-loss medication. The drug's components are sold under the names Zepbound for weight loss and Moujaro for treating type 2 diabetes. Due to anticipated high demand, NICE stated earlier in December that Tirzepatide will be introduced over three years, with patients who have the "greatest clinical need" receiving the drug first.

Today's focus

Keywords: USA initial jobless claims for the week; Hong Kong stock market closed.

On Thursday, the economic data for the USA initial jobless claims for the week ending December 21 will be released.

Additionally, Canadian stocks and Australian stocks will be closed for Boxing Day; Hong Kong stocks will continue to be closed for Christmas, and the HK->SZ and SZ->SH trading will be suspended.

Futubull Morning News:

You must see the true nature of the world, not what you think it is, or what you hope it to be; only then can you make the right choices.

——Munger

Editor/ping