Although Fed officials issued a dovish signal on Monday (21st), as the Chinese epidemic rebounded, Wall Street was shrouded in pessimism, money flocked to safe haven assets, the dollar rose, and the oil market suffered a huge shock, energy Diving stocks. , and the stock prices of major electric vehicle manufacturers such as China Concept Technology and Tesla were weak, and the four major indexes closed in the black.
The Dow Jones index closed up almost 50 points on Monday, the S & P index fell 0.39%, the Nasdaq fell more than 1%, and the Fernando Index fell 1.77%.
In political and economic news, investors are paying close attention to Fed officials’ views on the outlook for interest rate policy, and the minutes of the November meeting will be released on Wednesday, in an attempt to find more clues on a path future policy.
Mary Daly, president of the Federal Reserve Bank of San Francisco, said on Monday that the actual impact of the Fed’s interest rate hike could be greater than the impact of the current benchmark interest rate (3.75% to 4.00%), and too tight. monetary policy can have a negative impact on the economy causing unnecessary suffering. Cleveland-based Federal Reserve Bank President Loretta Mester is open to an increase in slowing rates next month.
The international oil market was in turmoil on Monday, with oil prices hitting a 10-month low, largely due to news that Saudi Arabia and other OPEC members are discussing increasing oil production by up to 500,000 barrels a day next month. their low points only came after the Arabs denied rumors of an increase in production.
Beijing is facing its toughest test yet of the pandemic, closing businesses and schools in hard-hit areas and demanding less social mobility as infection rates rise, rekindling concerns about energy demand in the world’s biggest energy importer.
News spread that the seven major industrialized countries (G7) plan to announce a price cap on Russian oil on Wednesday (23rd). Russian Deputy Prime Minister Novak (Alexander Novak) reiterated on Monday that he does not intend to supply Russian oil or petroleum products to countries that impose price caps.
Global supply chains may be at risk again, with truck drivers in South Korea planning to strike again, while rail strikes across the US, with the White House warning that a shutdown of the freight system is on the railroads are unacceptable to the US economy and its people.
The new global epidemic of coronavirus pneumonia (COVID-19) continues to spread. Before the deadline, data from Johns Hopkins University (Johns Hopkins University) indicated that the number of confirmed cases worldwide had increased to 638 million, and that the number of deaths had increased. exceeded 6.62 million. More than 12.7 billion doses of vaccines have been administered in 184 countries worldwide.
The performance of the four main US stock indexes on Monday (21st):
Among the five kings of science and technology, only Microsoft is thriving. Apple (AAPL-US) fell 2.17%; Alphabet (GOOGL-US) fell 1.88%; Microsoft (MSFT-US) rose 0.34%; Meta (META-US) fell 1.95%; Amazon (AMZN-US) fell 1.78%.
Dow Jones components traded up and down. Disney (DIS-US) rose 6.3 percent; Walgreens Boots (WBA-US) rose 2.11 percent; Coca-Cola (KO-US) rose 1.54 percent; UnitedHealth (UNH-US) fell 2.42 percent; US) fell 2.15%; Visa (V-US) fell 2.13%.
Almost all of Fei Ban’s constituent stocks were stained with blood. NVIDIA (NVDA-US) fell 0.60%; Applied Materials (AMAT-US) rose 0.42%; Texas Instruments (TXN-US) fell 1.59%; Micron (MU-US) fell 2.42%; Intel (INTC-US) fell 3.11 % %; Qualcomm (QCOM-US) fell 2.95%; AMD (AMD-US) fell 1.51%.
ADRs of Taiwanese stocks fell in one piece. TSMC ADR (TSM-US) fell 2.84%; ASE ADR (ASX-US) fell 1.10%; UMC ADR (UMC-US) fell 1.21%; Chunghwa Telecom ADR (CHT-US) fell 0.43%.
Tesla (TSLA-US) plunged 6.84% to 0.00 per Share traded at $167.87, which is the lowest closing level since November 2020, the fourth consecutive day of decline.
Disney (DIS-US) rose 6.30% to US$97.58 per share. Disney announced on Monday that the board of directors has decided that Bob Iger will return to Disney as CEO, replacing Iger’s original successor, Bob Chapek.
Apple (AAPL-US) closed up 2.17% to US$148.01 per share. According to Apple’s official website in China, users are currently placing orders to buy the iPhone 14 Pro series, and the delivery date is scheduled until January next year. The waiting time is more than month, and Apple retail stores in Beijing, Shanghai and other places are out of stock.
Intel (INTC-US) fell 3.11% to $28.94 per share after investment bank Cowen downgraded Intel from “outperform” to “outperform”.
Meta (META-US) closed up 1.95 percent at $109.86 a share. Meta faces new UK lawsuit Tanya O’Carroll, director of technology and human rights at Amnesty International, has sued Meta, accusing Meta’s Facebook of processing and analyzing personal data, and then tailoring ads, in breach of the law. the provisions of the General Data Protection Act.
Wall Street Analysis
Trading volume this week may tend to be light, as US stocks are closed on Thursday for Thanksgiving, and next Friday is also known as “Black Friday”, and US stocks trades for half a day only.
Janney Montgomery Scott predicts that trading hours this week will be shortened due to holidays, and trading volume for US stocks may decrease as Thursday approaches.
“Financial markets have been cooled by concerns that a growing outbreak in China and new containment measures will further drag on manufacturing production and reduce demand for raw materials,” said Susannah Streeter, senior investment and market analyst at Hargreaves Lansdown.
“Wall Street is starting to get nervous about an unpopular rail strike, which could lead to further supply chain issues that could continue to push inflation higher,” said analysts at Oanda.
Citigroup economist Veronica Clark said: “If the Fed is seeing a slowdown in inflation but not a slowdown in service sector inflationary pressures, then this is linked to the tight labor market, and they really need to start finally There are signs of loosening. in labor market data.”
All numbers are updated before the deadline, please refer to the actual quote