Federal Reserve officials “fly the hawk”: Minneapolis Federal Reserve Chairman Kashkari believes that recent data shows that the Fed's monetary tightening may not be as tight as Federal Reserve officials thought, and inflation may hover around 3%. He said that the Federal Reserve's most likely option is to keep interest rates high for longer. The outlook announced next month will show that interest rates will be cut twice this year, and if it is finally convinced that high inflation is deeply rooted, it will raise interest rates if necessary. Investors weigh the odds and timing of the Fed cutting interest rates this year.

After Kashkari's speech, US Treasury bond prices declined intraday, and yields rebounded. The benchmark 10-year US Treasury yield, which hit a new low of nearly four weeks earlier in the day, narrowed the decline. The yield on two-year US Treasury bonds, which are sensitive to interest rates, leveled off the decline; the increase in the US dollar index widened further away from the low level created by last Friday's non-farm payrolls report, which strengthened expectations of interest rate cuts; the US stock index declined rapidly; the Dow and S&P widened for a while, and the decline in the NASDAQ index widened.

The gains in US stocks, which have been rising over the past few days, have abated, and some tech giants have turned down, suppressing the market. After shutting down the German factory for four days due to factory expansion protests and facing an upgrade in the US regulatory investigation of the autonomous driving system accident, Tesla fell close to 4% in the intraday; Stanley Druckenmiller, a former “comrade of Soros,” a legendary investor who repeatedly supported AI last year and said he would own Nvidia for two or more years, revealed on Tuesday that he cut his holdings of Nvidia at the end of March this year, believing that the AI boom may have been overhyped in the short term. Nvidia's intraday decline was over 3%.

Tech giants that have maintained their gains have mixed performance. After launching the Pixel 8a, an affordable phone with AI features and the launch of the new iPixel tablet with no price increase, Google's parent company maintained an increase of more than 1% in the market; despite reports that it is developing and operating data center chips and officially releasing new iPad products such as the iPad Pro equipped with the M4 chip, the Apple market still declined.

Financial results triggered a huge shock in some leading stocks and AI concept stocks: after announcing that the number of subscribers to the streaming service Disney+ in the first quarter and the annual profit guidelines were lower than expectations, Disney once fell 10%, the worst single-day performance in nearly a year and a half; the second-quarter and full-year guidance fell more than 10% below expectations for Palantir, the biggest decline in two years; the first quarter turned losses into profits for the first time since the acquisition of Credit Suisse, and profits far exceeded analysts' expectations, and the financial sector took the lead in supporting the Pan-European stock index to record higher-than-record sales in the second quarter; Expected German chip giant Infineon It rose more than 10%, supporting the German stock index to approach a record high.

Among commodities, at the time of the cease-fire negotiations between Israel and Hamas, Russia hinted that OPEC+ production might increase, and international crude oil fell by more than 1%. On Monday, it had just broken out of the low since early March set last Friday; the rebound in gold was also a “one-day trip”; while basic metals in London, which was closed on Monday, rose by at least 1%, and copper broke through the 10,000 US dollar mark again after a week, close to the two-year high set last week. Goldman Sachs reported last week that smelting demand will continue to be strong, and the supply gap will widen in the future, saying that copper prices must rise to 15,000 US dollars/ton next year to avoid the supply gap. Cocoa futures, which plummeted last week, once surged 14%, the biggest intraday gain since 1960.

After the Dow recorded its longest continuous rise in more than four months, Disney, Palantir plummeted, Infineon, and UBS surged, and the Pan-European stock index reached a record high

The three major US stock indexes collectively opened higher for four consecutive trading days, with mixed results thereafter. The Nasdaq Composite Index has declined several times since early trading. It fell nearly 0.3% at a new low in midday trading, and narrowed its decline at the end of the session. The Dow Jones Industrial Average and the S&P 500 maintained gains in early trading. The Dow rose more than 120 points and rose more than 0.3% in early trading, and the S&P rose nearly 0.4% in midday trading, all of which later took back most of its gains. In midday trading, the Dow fell slightly by more than 10 points, and the S&P turned down in the short term.

In the end, of the three major indices, only the NASDAQ closed down, falling 0.1% to 16332.56 points, leaving the highest level since April 11, when it rose for three days on Monday. S&P, which closed up 1.03% on Monday, closed up 0.13% to 5187.7 points, rising for four consecutive days, breaking the high level since April 11 for the third day in a row. The Dow closed up 31.99 points, or 0.08%, to 38884.26 points, rising for five consecutive days, making it the longest continuous increase since December 19, 2023, and a new high since April 3.

The small-cap stock index Russell 2000, which is dominated by value stocks, closed up 0.19%, outperforming the market. It has been rising for five consecutive days and breaking its high position since April 9 on the 2nd. The tech-heavy Nasdaq 100 index closed down 0.01%. The Nasdaq Technology Market Capitalization Weighted Index (NDXTMC), which measures the performance of technology components in the Nasdaq 100 Index, closed down 0.19%, all falling after three consecutive gains to closing high levels since April 11.

Among the constituent stocks of the Dow Index, Disney (DIS), whose revenue fell below expectations for four consecutive quarters, fell 10.5% in the intraday period, closing down 9.5%, the biggest decline since November 2022; while Dow Chemical led the increase of nearly 1.8% in earnings, Walmart, Visa, and Unitedhealth all rose more than 1%.

Among the major sectors of the S&P 500, only three closed down on Tuesday. Tesla's non-essential consumer goods fell nearly 0.6%, IT, where chip stocks such as Nvidia are located, fell more than 0.5%, and energy fell more than 0.1%. Among the eight sectors that closed higher, materials, real estate, and utilities driven by metals such as copper all rose by more than 1%.

Including Microsoft, Apple, Nvidia, Google's parent company Alphabet, Amazon, Facebook parent company Meta, and Tesla, only Alphabet did not fall in the intraday market. Tesla performed the worst. It fell nearly 3.9% in the midday session, closing down nearly 3.8%. After rising for three to a week, it fell back to its closing low since April 26.

Among the six major FAANMG technology stocks, Apple rose nearly 1.8% at the beginning of the early trading session. It turned down nearly 0.4% at the end of early trading and closed up nearly 0.4%, and did not continue to fall from the closing high since February 22, which surged 6% last Friday; Alphabet closed up nearly 1.9%, rising for five consecutive days, breaking the high level since April 26; Meta fell more than 0.3% after falling more than 0.3% in early trading for three consecutive days; Amazon fell more than 0.3% after falling more than 0.3% after falling in early morning trading and then fell more than 0.3% after falling more than 0.3% in early trading. It turned slightly higher and eventually closed slightly higher. Financial reports will be announced After that, it continued to rise for 5 days, approaching the historic closing level set on April 11; Netflix closed up 1.5% after turning up in early trading, and will continue to rise for 5 days and 3 days to refresh its high position since April 18; while Microsoft, which had a high position since April 16, closed down 1%.

Chip stocks generally declined. The Philadelphia Semiconductor Index and semiconductor industry ETF SOXX closed down more than 0.7% and nearly 0.9%, respectively, outperforming the market and falling to the highest level since April 11, which was refreshed for three days. Among chip stocks, Nvidia, which opened low, fell about 3.4% in early trading, then narrowed, closing down 1.7%, and fell back after rising for 3 consecutive days to a high level since March 26; at the close, second-quarter revenue and EPS profit guidance were lower than expected, Microchip Technology (MCHP) fell 1.8%, TSMC US stocks fell more than 1%, and Intel and Qualcomm, which turned down in midday trading, fell more than 0.9%. AMD fell nearly 0.9%, and Broadcom, which turned down in early trading, fell nearly 0.6%, while Arm rose close to 0.8%. Cirrus Logic's revenue guidance for the fiscal quarter was higher than expected ( (CRUS) rose more than 10% after the market.

AI concept stocks declined, with Palantir (PLTR) falling 15.1% below expectations for the second quarter and full year; by the close, SoundHound.ai (SOUN) fell more than 5%, known as “Little Nvidia,” Astera Labs (ALAB), which sells data center interconnect chips, fell more than 2%, BigBear.ai (BBAI) fell 2%, ultra-microcomputer (SMCI) fell more than 1%, Oracle (ORCL) fell nearly 0.4%, Adobe (Adobe (ORCL)) fell nearly 0.4%, Adobe ( ADBE) fell close to 0.3%, and C3.ai (AI) fell slightly.

Popular Chinese securities generally continued to decline and outperform the market. The Nasdaq Golden Dragon China Index (HXC) closed down 2.1% and continued to fall from its closing high since October 2023, which was refreshed for three days. KWEB and CQQQ closed down about 2.3% and 1.8%, respectively. New car builders fell sharply. At the close, Xiaopeng Motor fell 6.6%, Ideal Auto, which rose more than 4% on Monday, fell more than 3%, NIO Auto, which rose more than 3% on Monday, also fell by more than 3%, and the Xiaomi fan order fell more than 2% for the second day in a row. Among other individual stocks, by the close, Station B fell more than 6%, NetEase fell nearly 5%, Alibaba and Baidu fell more than 2%, JD fell nearly 2%, Tencent Fanshang fell more than 1%, and Ehang Intelligence (EH), which surged 7.6% on Monday, also fell more than 1%, and Pinduoduo fell 0.7%.

Among the individual stocks that announced financial reports, the telemedicine platform Hims & Hers Health (HIMS), which had both first-quarter results and second-quarter revenue guidance higher than expectations, rose more than 17% at the beginning of the market and closed up 6%; US Tieba Reddit (RDDT), which closed 2.3%, announced its first quarterly earnings report after the market, showing that revenue for the first quarter increased 48% and losses were lower than expected. After the market, the stock price jumped nearly 20% after the market; for the first quarter, revenue and revenue rose 4% after the market; higher than Molecular diagnostic testing company Myriad Genetics (MYGN) is expected to rise more than 6% after the market.

Meanwhile, electric vehicle manufacturer Lucid (LCID), which had higher-than-expected revenue in the first quarter but lost 0.3 dollars per share, closed down 14.1%; spacecraft manufacturer Rocket Lab USA (RKLB), which had lower-than-expected revenue in the first quarter, fell 2.2% in early trading; home audio manufacturer Sonos (SONO), whose losses in the second quarter exceeded expectations, fell 9% after the market; Twilio (TWLO), a software company with higher-than-expected revenue in the first quarter but lackluster guidance for the second quarter.

Among individual stocks that fluctuated a lot, the media said that after a number of private equity firms were considering their acquisition and that the department negotiated privatization with at least one company, fitness equipment manufacturer Peloton (PTON) rose more than 19% in midday trading and closed 15.5%.

In terms of European stocks, the pan-European stock index rose for three consecutive days. The European Stoxx 600 Index rose more than 1.1%, the biggest increase since January 24, and set a new record high for closing on March 28. Major European countries' stock indexes rose sharply. German, English, and Western stocks both rose more than 1%. German stocks are approaching the record closing high of March 28. British stocks, which were closed on Monday, hit record closing highs for three consecutive trading days. Both German stocks and French stocks rose for 3 consecutive days, while Italian and Western stocks rose for 2 consecutive days.

Among the various sectors, financial services closed up about 2.5%. Thanks to the announcement of losses for two consecutive quarters, and profits three times what analysts expected, Swiss listed UBS European stocks closed up about 7.6%; the banking sector closed up nearly 2.3%. Among the constituent stocks, UniCredit, Italy's second-largest bank, which exceeded expectations and raised investor return guidelines, rose 3.6%. The stock price hit a 13-year high. After Sabadell rejected its takeover offer, the technology sector rose 3.6%; 1.8%, mainly due to Infineon closed up more than 12.9% with higher-than-expected sales in the first quarter and investors expect long-term growth.

The 10-year US Treasury yield, which hit a new low in nearly four weeks after the Federal Reserve official's speech, narrowed its decline

The yield on the US 10-year benchmark treasury bond rose to 4.50% in early Asian trading, and the US stock market fell 4.42% in early trading, breaking the low since April 10 set last Friday, falling nearly 7 basis points during the day. After Minneapolis Federal Reserve Chairman Kashkari's speech, the decline narrowed. US stocks rose 4.47% in midday trading, and about 4.46% at the end of the bond market. It fell nearly 3 basis points during the day, and the yield on most other US bonds fell for five consecutive days.

The 2-year US Treasury yield, which is more sensitive to interest rate prospects, rose 4.84% in early Asian trading, and fell 4.80% to a new daily low of more than 3 basis points in early trading. After Kashkari's speech in the afternoon, it rose above 4.83% to smooth out the intraday decline and turn slightly higher. It was about 4.83% at the end of the bond market. It remained flat on Monday. It did not recover further after falling for three days on Monday, and is still far from the low level since falling 4.71% last Friday to the refresh rate on April 10.

After the Federal Reserve official's speech, the US dollar index reached a new daily high and continued to break away from its low level for more than three weeks

The ICE US Dollar Index (DXY), which tracks the exchange rate of a basket of six major currencies including the US dollar against the euro, remained strong on Tuesday. After early Asian trading, it fell to a new low of 105.04. After US stocks began early trading and Minneapolis Federal Reserve Chairman Kashkari's hawk in early trading, the increase continued to expand. It rose above 105.40 in midday trading, breaking the intraday high level since May 2. It continued to break away from the low level of the US March CPI announced on April 10, which was refreshed close to 104.50 on Friday.

By the close of the US stock market on Tuesday, the US dollar index was above 105.30, up about 0.3% during the day; the Bloomberg US Dollar Spot Index, which tracks the exchange rate of the US dollar against ten other currencies, rose more than 0.2%, continuing to break away from the simultaneous low since April 11, which was refreshed last Friday, and the US dollar index rebounded for two days after three consecutive days of decline.

Among non-US currencies, the yen fell for 2 consecutive days after rising for 3 days. The dollar rose above 154.70 against the US stock market at noon and rose more than 0.5% during the day, continuing to break from the low level since April 10, which fell below 151.90 last Friday; EUR/USD was close to a new high of 1.0790 at the beginning of the session, and fell below the 1.0750 fresh low after falling below 1.0750. The US stock market closed below 1.0760, falling about 0.2% during the day, falling from the high of April 10 when it broke 1.0810 last Friday; the pound fell from the high level of April 10 against the US dollar since April 10 when it broke 1.0810 last Friday; US stocks rose above 1.2570 at the beginning of the market and hit a new daily high At noon trading, the test was 1.2500, breaking the low level since May 2. US stocks hovered at 1.2510 at the close and fell 0.4% during the day.

The offshore renminbi (CNH) reached 7.2129 yuan against the US dollar in early Asian trading, and quickly fell after falling. The US stock market had a record low of 7.2269 in midday trading, falling 127 points during the day, losing 7.22 intraday for two consecutive days, and continued to fall below the high level since January 25, which rose above 7.17 last Friday. At 4:59 on May 8, Beijing time, the offshore renminbi reported 7.2253 yuan against the US dollar, down 111 points from the end of Monday in New York.

Bitcoin (BTC) reached a new daily high of 64,400 US dollars in early trading, rising above 64,400 US dollars on some platforms. The decline of US stocks accelerated intraday. At one point, it fell below 63,000 US dollars to below $62,900 in midday trading, falling more than 2% from the daily high. It fell from the high level since Wednesday, April 24, which was refreshed after rising above 65,000 US dollars on Monday. US stocks closed above $63,000, falling around 0.2% in the last 24 hours.

Crude oil rebounded the next day and fell close to a seven-week low

International crude oil futures declined several times in the intraday period. When the Asian market hit a new high in early trading, US WTI crude oil was close to 79.20 US dollars, rising nearly 0.9% during the day. Brent crude oil was close to 83.90 US dollars, rising nearly 0.7% during the day. After European stocks turned down early trading, US oil fell below 77.60 US dollars, fell nearly 1.2% during the day, and oil fell 1.1% during the day. Entering midday trading, it turned up and then fell again.

In the end, crude oil declined. WTI's June crude oil futures, which ended five consecutive declines on Monday, closed down $0.10, or 0.13% to $78.38 per barrel, and began to approach the low since March 12, which was refreshed for three consecutive days by approaching $78.1 last Friday; Brent crude oil futures for July, which rebounded on Monday, closed down $0.17, or 0.20%, to $83.16 per barrel, and began to approach the low since March 12, which was refreshed after falling back last Friday.

US gasoline and natural gas futures had mixed ups and downs. NYMEX's June gasoline futures, which rebounded on Monday, closed at 2.5434 US dollars/gallon, breaking the closing low since March 8 set last Friday; NYMEX's June natural gas futures closed up 0.55% to 2.207 US dollars/million British thermal units, rising for four consecutive days, breaking the high level since January 24.

Lunzinc rose to 13 months, breaking the 10,000 US dollar mark after a week, and gold rebounded and fell the next day

London basic metals futures, which were closed on Monday, rose sharply on Tuesday. Lunzinc, which led the rise, closed up nearly 2%, breaking the high level set last Monday since the end of March last year. It also rose for three consecutive days with Lunxi and Lunnickel. Renxi rose 1.9% to a new high of more than a week, while Lunxi hit a new high in two weeks. Luntong and Lun Lead rose more than 1%. Following last Monday, Luntong once again broke through the 10,000 US dollar mark, beginning to approach the closing high since April 2022 set after rising above 10,000 US dollars last Monday. Luntong also refreshed the high level since November last year set last Monday. Lunan aluminum rose two times in a row and continued to break away from its low position in nearly three weeks.

Gold turned down in the middle of the day. When the Asian market hit a new high in early trading, New York gold futures rose to $2338.7, rising more than 0.3% during the day. When US stocks hit a daily low before the market, futures fell to $2318.2, down 0.6% during the day, spot gold approached $2,310, and fell 0.6% during the day. None of them came close to the low since April 5, which each fell to around $2,285 and below $2,278 respectively last Friday.

By the close, COMEX June gold futures, which stopped two consecutive declines on Monday, closed down 0.3% to $2324.2 per ounce, and failed to continue to break from the closing low since April 2, which fell below $2303 on Tuesday. At the close of the US stock market, spot gold was below $2,315, down about 0.4% during the day.

Editor/Jeffrey