01
This week, the United States will release a series of economic data, and correspondingly, China will also have several macroeconomic data to be released. There is no doubt that global financial markets will be severely affected by these news.
The consumer survey data released by the United States last night were both happy and worried, resulting in the three major U.S. stock indexes rising and falling.
Dow Jones Industrial Average finally stopped the previous four days of continuous decline, up 0.12% last night. However, judging from the intraday trend, there was still a big plunge before the closing. It rose to more than 29,600 points at its highest, but fell to 29,239 points at the close, down nearly 400 points, and only rose 36 points throughout the day.
But in comparison, it is far better than the Nasdaq and S&P 500 indexes. These two indexes continued to fall last night, especially the Nasdaq index fell 1.1%, which is also the decline of the Nasdaq and S&P for five consecutive trading days.
Look at the cumulative decline since this year, the Nasdaq is far ahead, with a cumulative decline of 33.36%, followed by the S&P 500 also fell by 24.7%. The Dow Jones Industrial Average is also the best among the three, with a current decline of 19.5%.
02
Last night, the New York Fed released the consumer survey results, with an expected inflation rate of 5.4% in the next year. This expected value is 0.3 percentage points lower than last month's survey feedback, the lowest level in a year since September last year. This shows that consumers believe that inflation is slowly changing.
This may be exciting news for the Fed, which means that the multiple interest rate hikes in the past have begun to have achieved certain results.
But there is a more worrying information in the same survey data.
Consumers' expectations for future household spending are slowing down, reaching the lowest level this year, and a sharp drop of nearly two percentage points from 7.8% in August, showing the largest single-month drop in history. The data of
can better reflect the current economic situation. In order to control inflation, the Federal Reserve's continuous interest rate hikes have seriously damaged the economic conditions of ordinary American residents. To this end, everyone has to continuously reduce their future spending plans.
Sluggish consumption will inevitably be fed back to the economy, and soon the investment of enterprises will shrink, profits will decline, and then reflected in the financial market, and the stock price will fall further.
From this we can draw a conclusion that the temporary decline in US inflation is the price that ordinary American families are paying for it.
03
The technology giant stocks fell significantly last night, among which the decline in semiconductors was particularly strong. TSMC fell to 6%, and Sun Moonlight Semiconductor even fell by 9%.
For other technology stocks, Netflix fell 7%, while Tesla fell nearly 3%. Microsoft, Apple, and Amazon all fell by more than 1%.
Chinese stocks also fell significantly, China Golden Dragon Index fell 3.4% again. After the sharp drop of the previous day, Bilibili fell 7% again yesterday, Ctrip fell more than 10%, and Alibaba, Baidu, and Pinduoduo all fell more than 4%.
The financial market in the UK is also very chaotic now.
At the end of September, the British government launched a large tax cut plan, causing a collapsed market decline.
Subsequently, the Bank of England took action to rescue the market and repurchase Britain's Treasury bonds. The government also announced that the previous tax cut plan would be adjusted significantly.
But yesterday the Bank of England delivered another speech, saying that it would not extend the time for the rescue.
In recent days, UK Treasury bonds have continued to fall, and the UK's exchange rate has also fallen for five consecutive trading days.
