The new round of large-scale stimulus plan in the United States and the slowing of the epidemic have led to the recent market bullish sentiment. On Tuesday (9th) the market waited for the progress of the relief case. The rise of the three major indexes slowed down, but the Nasdaq still hit a record high. Pu and Dow Jones ended up with a small drop after hitting a record high in the session.
Democrats in the House of Representatives announced a large-scale bailout bill on Monday evening, which includes extending the unemployment benefit of $400 a week to August 29 and paying most families $1,400 in cash checks, etc., and is committed to the end of this month. Passed in the House of Representatives.
In terms of cash check details, the President of the United States also called on Tuesday that he supports adjusting the cash check threshold and agrees to issue a cash check of US$1,400 to families whose annual income does not exceed US$75,000.
In addition to the good news of rescue cases, the epidemic is gradually slowing down. In the past week, the average daily number of newly diagnosed cases in the United States was 111,190, a decrease of 36% from the average two weeks ago. According to data from the COVID Tracking Project, there were 80,055 new coronary pneumonia patients in US hospitals last Sunday, the lowest level since November 18, indicating that the hospitalization rate is also declining.
Tuesday (9th) the performance of the four major US stock indexes:
- The US stock Dow Jones index fell 9.93 points, or 0.1%, to close at 31,375.83 points.
- The S&P 500 index fell 4.36 points, or 0.1%, to close at 3,911.23 points.
- The Nasdaq Index rose 20.06 points, or 0.1%, to close at 14,007.70 points.
- The Philadelphia Semiconductor Index rose 93.47 points, or 3.13%, to close at 3,078.48 points.
The five kings of science and technology have seen each other’s rise and fall, but they only fluctuate slightly. Apple (AAPL-US) fell 0.66%; Facebook (FB-US) rose 1.08%; Alphabet (GOOGL-US) fell 0.44%; Amazon (AMZN-US) fell 0.54%; Microsoft (MSFT-US) rose 0.54% .
The Dow Jones constituent stocks have mostly consolidated slightly. McDonald’s (MCD-US) rose 2.08%; United Health (UNH-US) rose 1.63%; Boeing (BA-US) rose 1.50%; Disney (DIS-US) fell 0.94%; Nike (NKE-US) fell 1.13% ; Dow Chemical (DOW-US) fell 1.31%.
Fei’s semi-component stocks were mixed. ON Semiconductor (ON-US) rose 2.01%; Intel (INTC-US) fell 0.64%; Micron (MU-US) fell 0.82%; Qualcomm (QCOM-US) fell 0.86%; NVIDIA (NVDA-US) fell 1.22% ; AMD (AMD-US) fell 0.61%.
Taiwan stocks ADR collectively received dividends. TSMC ADR (TSM-US) rose 0.1%; ASE ADR (ASX-US) rose 0.73%; UMC ADR (UMC-US) rose 2.88%; Chunghwa Telecom ADR (CHT-US) rose 0.64%.
The funding frenzy of the retail army of Reddit platform has dropped sharply, short covering momentum has weakened, and retail investors have made profits. GameStop (GME-US) stock price has fallen from a high of US$483 at the end of January to about US$50.
Electronic Arts (EA-US) announced on Tuesday that it will acquire Glu Mobile, a mobile game developer, at a price of US$12.50 per share. It means entering the mobile game market. The share price rose 2.6% after the news.
Wedbush released a report on Tuesday that is optimistic about the performance of Twitter (TWTR-US) this year, stating that Twitter has benefited from two consecutive quarters of advertiser demand and user monetization growth. The fourth-quarter performance will exceed market expectations, encouraging Twitter’s share price to rise 3% on Tuesday .
Car-sharing startup Lyft (LYFT-US) announced on Tuesday that its earnings report showed strong revenue growth. The company said it has gradually recovered from the epidemic and is expected to achieve profit in the third quarter. The stock price soared 9% after the market.
Dow Jones component Cisco (CSCO-US) announced that although its financial report is better than market expectations, revenue has declined for five consecutive quarters. Although cloud demand has increased Cisco’s business, remote work has also affected its corporate business. The stock price fell 6%.
Wall Street Analysis
JJ Kinahan, chief market strategist at TD Ameritrade, said that the market is repricing for the economic restart recently, and US stocks may continue to rise in the short term. However, whether the economy can actually meet expectations is more worrying.
Bank of America analyst Jared Woodard said that since the recent market has shown signs of overheating, there may be a wave of 5% to 10% corrections in the first quarter, but it will be a low point to enter the market.
However, Mona Mahajan, an investment strategist at Allianz International, believes that taking into account the vaccine, the slowing of the epidemic and the assistance of the new round of stimulus measures in the United States, the subsequent rise may be just beginning. So far the market has not shown a 5% or 10%. % Signs of correction.
Forecast of key events on Wednesday:
- EIA releases crude oil inventory report
- FED Chairman Jerome Powell will give an online talk
- U.S. will publish consumer price index