The bullish news of the US-China policy has boosted the market sentiment. US stocks had a good start on Monday (6th), solar stocks soared, Chinese stocks were all cheering, and Amazon rose on the first day that the stock split took effect , but the 10-year U.S. bond yield exceeded 3%, restraining the gains of U.S. stocks. Twitter weakened after Musk warned that he might abandon the acquisition. The four major indexes closed slightly higher at the end, and the Nasdaq rose more than 0.4%.
In terms of politics and economy, the United States has recently offered a lot of tariffs. Foreign media reported on Monday that U.S. President Biden is expected to announce an exemption from tariffs on solar cells imported from four Southeast Asian countries (Cambodia, Malaysia, Thailand and Vietnam) for up to 2 years. Solar stocks were higher.
U.S. Commerce Secretary Gina Raimondo confirmed on Sunday (5th) that Biden has ordered the ruling team to evaluate the option of removing some tariffs on imports from mainland China to combat high inflation.
China, on the other hand, is seeing light in the unblocking and regulatory storm. The Wall Street Journal reported on Monday that Chinese regulators will complete a cybersecurity investigation into Didi Chuxing, and the ban on new users of the app is expected to be lifted, which may signal that China’s crackdown on its technology industry may be coming to an end. Excited.
Chinese media reported on Sunday that as the number of infections continues to decline, Beijing will further ease its containment of the outbreak and allow indoor dining, planting the seeds for bulls in gaming stocks such as Wynn Resorts.
Crude hit $120 a barrel again after Saudi Arabia, the world’s top producer, raised the price of its Arab Light crude for July shipments to Asia by $2.10 a barrel by more than market expectations. .
The global epidemic of new coronary pneumonia (COVID-19) continues to spread. Before the deadline, data from Johns Hopkins University in the United States pointed out that the number of confirmed cases worldwide has exceeded 532 million, and the number of deaths has exceeded 6.29 million. More than 12 billion doses of vaccines have been administered in 184 countries worldwide.
The performance of the four major U.S. stock indexes on Monday (6th):
Focus stocks
The five kings of technology are only Microsoft. Apple (AAPL-US) was up 0.52%; Meta (formerly Facebook) (FB-US) was up 1.82%; Alphabet (GOOGL-US) was up 1.99%; Amazon (AMZN-US) was up 1.99%; Microsoft (MSFT-US) was up 1.99% ) fell 0.47%.
The Dow Jones components were mixed. Amgen (AMGN-US) fell 1.21%; Salesforce (CRM-US) fell 1.1%; Traveller (TRV-US) rose 1.6%; IBM (IBM-US) rose 1.2%; UnitedHealth (UNH-US) rose 0.94%.
Fei and half constituents were mixed. Intel (INTC-US) fell 0.12%; Applied Materials (AMAT-US) rose 0.035%; Micron (MU-US) rose 0.73%; Texas Instruments (TXN-US) fell 2.65%; AMD (AMD-US) fell 0.61 %; NVIDIA (NVDA-US) rose 0.35%; Qualcomm (QCOM-US) fell 0.55%.
Taiwan ADR was the best performer with UMC. TSMC ADR (TSM-US) was up 0.70%; ASE ADR (ASX-US) was up 0.28%; UMC ADR (UMC-US) was up 1.95%; Chunghwa Telecom ADR (CHT-US) was up 1.29%.
Corporate News
Apple (AAPL-US) rose 0.52% to $146.14 per share. Apple’s 2022 Worldwide Developers Conference (WWDC) debuted online in the early morning of June 7, Taiwan time. In addition to releasing new iOS 16, watchOS 9, and macOS Ventura, Apple also launched a new generation of 5-nanometer process technology. The M2 chip, and the first new MacBook Airs and MacBook Pros with the M2 chip.
Apple also announced Monday that it will launch the Apple Pay Later “buy now, pay later” service in the U.S., built into Apple Pay and available with iOS 16. Buy now, pay later company Affirm (AFRM-US) fell 5.50% to $23.72 a share on Monday.
Twitter (TWTR-US) fell 1.49% to $39.56 a share on Monday. Elon Musk, the world’s richest man, warned on Monday that he may abandon a $44 billion takeover of Twitter if it doesn’t provide information on spam and fake accounts.
U.S. electric car maker Tesla (TSLA-US) rose 1.60% to $714.84 a share. Tesla has previously reported that it will lay off 10% of its employees. Tesla CEO Musk clarified on the 4th that the total number of Tesla will increase in the next 12 months, but the number of salaried employees should not change. Variety.
China’s electric car “Weixiaoli” climbed across the board, with NIO ADR (NIO-US) up 6.03%, Xiaopeng ADR (XPEV-US) up 5.17%, and Li Auto ADR (LI-US) up 10.91%. The South China Morning Post reported last week that demand for electric vehicles looks strong as China begins to unwind.
Chinese regulators are rumored to lift the ban on Didi Chuxing and two other Chinese companies, Didi ADR (DIDI-US) soared 24.32% on Monday, Manbang Group (YMM-US) rose 3.04%, Boss directly hired the parent company to see Quasi (BZ-US) surged 19.93%. This news affected the general rise of Chinese concept stocks, Alibaba (BABA-US) rose 6.22%, Baidu ADR (BIDU-US) closed up 2.49%, and Jingdong ADR (JD-US) rose 6.53%.
Economic data
- The U.S. Conference Board Employment Trends Index reported 119.77 in May, from 120.60 previously
Wall Street Analysis
With the 10-year U.S. Treasury yield rising sharply above 3.00%, it will be difficult for the market to bounce back, said Joe Gilbert, portfolio manager at Integrity Asset Management.
Morgan Stanley analysts led by Michael Wilson mentioned that in the absence of an obvious blow like a recession, the downward revision of corporate earnings forecasts will slowly lead the stock market lower, and this time is no exception. Will be close to 3400 points, which means there is still about 17% downside.
However, a team of JPMorgan strategists led by Mislav Matejka is optimistic that stocks’ underlying risk-reward ratios may improve as the second half of the year unfolds.
The figures are updated before the deadline, please refer to the actual quotation.
