Us bond yields soared, precious metals collapsed across the board, and silver tumbled 15%! The Trump administration and Moderna Inc have reached an agreement to purchase 100m doses of vaccine; XIAOMI has released the supreme commemorative version of the red rice K30 and the world's first mass-produced transparent TV; Tencent will announce his financial results today.

Hot news

• The Fed stepped up its purchases of auto bonds as the auto industry began to recover
  

The Fed's historic actions in the credit markets helped car companies the most, helping them survive the epidemic and begin to show signs of recovery. Since its last update on July 10th, the Fed has bought another $224 million of debt related to car companies, the largest amount of any industry. Auto bonds are now the second-highest overall exposure of the Fed, according to CreditSights analysis of data released by the Fed on Monday.

• Us bond yields rose the most since June

Treasury yields rose the most since June on Tuesday as investors prepared for massive bond issuance by the U. S. government and companies. Long-term US Treasuries led the trend, with the 10-year yield rising 7 basis points to 0.65 per cent, the biggest increase since June 5, while the 30-year yield rose 8 basis points, the biggest increase in eight weeks.

• The Fed bought more junk bonds and blue chip bonds in July

The Fed bought more bonds of blue-chip companies (including Microsoft Corp and Coca-Cola Company) in July. At the same time, it has increased its position in junk debt and provided the largest loan in its main Street loan program to a ski resort and casino in the Pocono Mountains.

• Federal Reserve Barkin: the United States is still in a historic recession

Barkin said that the United States is still in a historic recession, with the recovery of economic activity slowing as the number of cases increases; the economic path still depends on the progress of controlling the epidemic; low interest rates may encourage demand for stocks; failure to take the right stimulus measures may hurt the economy.

• Goldman Sachs Group stock strategist: technology stocks are still the best choice for a long time.

Despite the recent shift to value stocks, technology stocks offer the best growth potential for long-term investors, said David Kostin, chief US equity strategist at Goldman Sachs Group. "the higher growth still lies in technology stocks," Kostin said. After the COVID-19 pandemic, the low interest rate policy is likely to last for several years, further benefiting such stocks.

• Expert: Trump bypassing Congress to "unpack generously" is actually "insignificant" and does nothing to boost the economy.

Trump's executive orders include a temporary extension of unemployment benefits ($400 a week), a partial deferred payroll tax, a suspension of federal student loan payments, and a possible further suspension of tenant eviction orders. Lydia Boussour, a senior American economist at the Oxford Institute of Economics, estimates that presidential executive order benefits will total 0.2% of GDP, which is actually "negligible."

• Small businesses in the United States have fallen into a wave of closures, and thousands of enterprises have disappeared quietly.

America's big companies are going bankrupt at a record rate, but this is only part of the tragedy. According to some statistics, during the Covid-19 pandemic, small businesses are disappearing in the tens of thousands, which could be a serious drag on the economy. More than 80000 companies closed permanently from March 1 to July 25, according to online review site Yelp Inc. Of these, about 60000 are local enterprises, that is, companies with fewer than five locations.

• Putin: Russia becomes the first country in the world to approve COVID-19 vaccine

Russia has become the first country in the world to give regulatory approval to a COVID-19 vaccine after less than two months of human trials, Russian President Vladimir Putin said on Tuesday. The first registered novel coronavirus vaccine was named "SPUTNIK V". The first novel coronavirus vaccine in Russia will go into circulation on January 1, 2021, according to the drug registration file of the Russian Ministry of Health.

• The whole line of precious metals collapses! Gold tumbled $110, the biggest drop in seven years, while silver tumbled 15%

On Aug. 11, the price of gold plummeted in New York, with spot gold falling more than $110, the deepest drop of 5.78%, the biggest one-day drop since June 2013. Silver reached 15% at one point and fell more than $4 on the day. As US and European bond yields climbed, the yield on 10-year US Treasuries rose at its highest level since June, greatly reducing the attractiveness of unyielding gold. In addition, the recovery of risk appetite driven by Russian vaccine news, encouraging economic data and hopes for a new round of aid packages have also put pressure on precious metals.

• The scale of new credit and social finance in July was lower than market expectations.

On August 11, the financial data and social financing statistics released by the central bank for July showed that the scale of new credit financing in that month was lower than the market expected. In July, RMB loans increased by 992.7 billion yuan, 63.1 billion yuan less than the same period last year, down 45% from the previous year; the scale of social financing increased by 1.69 trillion yuan, 406.8 billion yuan more than the same period last year, down 50% from the same period last year. Broad money (M2) grew by 10.7% year-on-year, 0.4 percentage points lower than at the end of last month.

Review of US stocks

• Us stocks closed lower, technology stocks led the decline, and the Nasdaq fell 1.69%.

The market is still concerned about fiscal stimulus measures, vaccine research and development and international tensions. Russia approved the first COVID-19 vaccine, but it was questioned by some medical experts. Gold futures fell 4.6% and silver tumbled 11%. The Dow is down 0.38%, the Nasdaq is down 1.69%, and the S & P 500 is down 0.80%.

• Li Bin: NIO Inc. 's BaaS model plan will be officially released in the third quarter.

$NIO Inc. (NIO.US) $Li Bin said that NIO Inc. has made great progress in the innovative business model of separation of cars and electrics. the company has completed all the product announcement and certification required for the separate sale of the whole vehicle and the battery, and the first BaaS model vehicle has also completed the verification of insurance, loan, licensing and other processes. "this is a major breakthrough in NIO Inc. 's technology and business model innovation. At present, we are still making final preparations for the formal provision of BaaS model services, and the implementation plan will be officially released in the next three quarters. "

• Tesla, Inc. 's share price rose more than 6% in after-hours trading, announcing a plan to split the stock into five shares.

$Tesla, Inc. (TSLA.US) $The company's board of directors has approved and announced a stock split plan to split its common stock at 1:5 in the form of a dividend, with the aim of making it more accessible to employees and investors, the company's board of directors said in an announcement on Wednesday. So far, the company's shares are up more than 6% in after-hours trading.

• Demand continued to decline, and Boeing Co's orders were cancelled for the sixth month in a row.

$Boeing Co (BA.US) $It said that as demand continued to decline, the number of aircraft orders cancelled exceeded new orders for the sixth month in a row. In July, the company's customers cancelled orders for 43 of its troubled 737 Max aircraft, with zero new orders. From the beginning of this year to July, Boeing Co had net negative orders for 836 aircraft, including aircraft that the company withdrew from its backlog of outstanding orders. Boeing Co usually deletes orders from its records when customers are in a financial straitened situation. The adjustment in July reduced Boeing Co's backlog of orders to 4496.

• The Trump administration and Moderna Inc reached an agreement to purchase 100m doses of vaccine.

Trump said he met with the head of the vaccine research and development group, and$Moderna Inc (MRNA.US) $An agreement was reached to purchase 100 million doses of vaccine. These vaccines are being tested in the third phase. The vaccine agreement between the US government and Moderna Inc has reached 1.525 billion US dollars.

• Redcivir submitted a new drug application to the US FDA for COVID-19 's treatment.

$Gilead Sciences Inc (GILD.US) $It was announced that a new drug application (NDA) of Redcivir has been submitted to the US Food and Drug Administration (FDA) for the treatment of COVID-19 's patients. In other words, Redsevir has officially entered the process of commercial listing. According to Gilead, Veklury is currently authorized for emergency use in the United States to treat hospitalized critically ill COVID-19 patients.

• Qualcomm Inc wins key antitrust lawsuit

Make a decision together$Qualcomm Inc (QCOM.US) $In the focus case of the business model, they successfully appealed and overturned the previous adverse decision of the Federal District Court and won an antitrust lawsuit with the Federal Communications Commission (FTC). The Ninth Circuit Court of Appeals of the United States today rejected the decision of Federal District Court Judge Lucy Koh last year by a unanimous vote of three votes, saying that the evidence provided by FTC could not prove that Qualcomm Inc was suspected of illegal monopoly and hindering market competition.

The Prospect of Hong Kong City

• There was a net inflow of 1.902 billion southward funds on Tuesday.

• XIAOMI released Red Rice K30 Supreme Commemorative Edition and the world's first mass-produced transparent TV.
  

On Tuesday$XIAOMI Group-W (01810.HK) $In his 10th anniversary speech, Lei Jun announced the official release of Hongmi K30 Supreme Commemorative Edition, with the minimum capacity configuration 6GB+128GB version priced at 1999 yuan, the same price as XIAOMI's first-generation mobile phone; and the world's first mass-produced transparent TV, which uses 55-inch transparent OLED and supports 120Hz refresh rate at 49999 yuan.

• Sunny Optical Technology's shipments of mobile phone lenses increased by 25% to 136 million pieces in July compared with the same period last year.

$Sunny Optical Technology (02382.HK) $According to the announcement, in July 2020, shipments of glass spherical lenses were 2.019 million, up 75.1% from the previous month, down 23% from the same period last year; mobile phone lens shipments were 136 million, up 15.4% from the previous month and 25% from the same period last year; and car lens shipments were 4.745 million, up 29.2% from the previous month and 16% from the same period last year. The mobile phone camera module shipped 54.866 million pieces, an increase of 25.5% month-on-month and 13.7% over the same period last year.

• Hua Hong Semiconductor's profit attributable to the owners of the parent company in the medium term decreased by 58% to US $38.14 million compared with the same period last year.

$Hua Hong Semiconductor (01347.HK) $The interim results for 2020 were announced, with sales revenue of US $428.2 million, down 5% from the same period last year; gross profit of US $101 million, down 28.9% from the same period last year; gross profit margin decreased by 8.0% to 23.6% from 31.6%; profit attributable to the parent company during the period decreased by 58.0% to US $38.14 million; basic profit per share was US $0.03, with no dividend.

• The core net profit attributable to shareholders in the neighborhood increased by 76.2% to 84.2 million yuan in the medium term.

$time neighborhood (09928.HK) $When the results for the six months ended June 30, 2020 were released, the revenue was 702 million yuan, up 54% from the same period last year; the gross profit was 199 million yuan, up 62.5% from the same period last year; and the core net profit attributable to the owners of the parent company (excluding listing expenses) was 84.2 million yuan, up 76.2% from the same period last year. Basic earnings per share are 9 cents.

• China Literature's mid-2020 financial report: revenue of 3.26 billion yuan and net loss of 3.31 billion yuan

$China Literature (00772.HK) $The interim results for 2020 were announced, with a total revenue of 3.26 billion yuan in the first half of 2020, an increase of 9.7 percent over the same period last year, and a gross profit of 1.73 billion yuan, an increase of 6.8 percent over the same period last year. Xinli Media's revenue and operating results fell short of expectations in the first half of 2020. As a result, it recorded a provision for goodwill and impairment of trademark rights of RMB 4.41 billion and a net loss of RMB 3.31 billion for China Literature.

• After the adjustment of biological fair value, WH Group Limited's profit attributable to shareholders in the medium term decreased by 44.3% to US $317 million.

$WH Group Limited (00288.HK) $The interim results for 2020 were released, and after adjusting for biological fair value, the group's revenue for the period was $12.481 billion, an increase of 12.2% over the same period last year. Operating profit was US $925 million, an increase of 20.9% over the same period last year. Profits attributable to company owners were $317 million, down 44.3 per cent from a year earlier. Basic earnings per share are 2.15 cents and an interim dividend of HK $0.05 per share is proposed. Before adjusting for biological fair value, the profit attributable to the company's owners was $550 million, an increase of 18.8 per cent year-on-year.

Focus today

Key words: Tencent's financial report,The United States July CPI,UK GDP data

Advance financial report for August

Niuniu morning reading:

If you buy an undervalued stock, you have to wait until the price reaches your intrinsic value, which is difficult to calculate. But if you buy a great company, you just sit there and stay. -- Munger