On Tuesday, Eastern Time, boosted by better-than-expected corporate financial reports, US stock continued yesterday's rise, but the sharp fluctuations and open high and fall 's trend also reflect investors' doubts, indicating that they still lack confidence in the stock market. As of the close, the Dow Jones Industrial Average rose 337.98 points, and the gained to 1.12% at 30,523.80 points; the Nasdaq rose 96.60 points, or 0.90% at 10,772.40 points; the S&P 500 index rose 42.03 points, or 1.14% at 3719.98 points.
Investors have been preparing for a tough earnings season, with surges in inflation, rising interest rates and the threat of recession putting pressure on consumer spending and corporate profits. But most of the results announced by companies so far are better than expected, driving the U.S. stock market to continue to rebound. A strong start to the earnings season may suggest that the current economic situation is better than people are worried about.
Global markets were also boosted after the British government revoked an unpopular fiscal plan. The Bank of England said that given that the UK government's fiscal announcement is scheduled to be released on October 31, the first Treasury bond sale operation will be held on November 1.
Morgan Stanley Analysts said that in the face of a sharp rise in interest rates under high inflation, investors have been adjusting to adapt, but they still need to deal with the profit headwinds faced by the S&P 500. "While the peak interest rate may consolidate estimates of stock risk premiums and valuation multiples, stock investors are still facing the second act of the bear market - the profit prospect."
Profit expectations for many industries in 2023 have been lowered from current expectations, reflecting the above potential decline. Even without a recession, this situation may arouse adverse risks. "When you are in the pain of a bear market, in addition to seeing the stock market rise significantly, you also need to see the bond yields drop significantly, and that is the real rebound." But this has not happened now, on the contrary, the yields of US government bonds have been rising.
Bank of the United States latest investigation report shows that due to Feder 's sharp rate hike and pessimistic expectations for the economic outlook, fund managers have completely "surrendered", they have completely lost confidence, and the current market is wailing. However, the bank pointed out that this also paved the way for the rebound of US stocks in 2023.
S&P 500 index 11 sectors closed higher, with the industrial sector leading the way by 2.36%, the raw materials, utilities, finance, optional consumption, daily consumer goods, and real estate sectors rose by at least about 1.3%, and the health care and telecommunications sectors rose by more than 0.5%, with the smallest increase.
US stock industry ETFs generally closed higher, global aviation industry ETFs rose by more than 2.5%, utility ETFs, online stock index ETFs, financial ETFs, optional consumer ETFs, and daily consumer goods ETFs rose by at least 1.3%, while regional bank ETFs fell slightly less than 0.1% and worst performance.
Large technology stock rose and fell, Netflix fell more than 1%, financial report showed that its paid subscription growth in the third quarter exceeded expectations, Netflix's stock price once rose by more than 15% after the market; Meta fell slightly by 0.93%; Twitter , Amazon rose more than 2%, Google , Microsoft , Apple , etc. rose slightly. Chip stocks rose and fell, with GF rising more than 5%, ASMA and ON Semiconductor rising more than 1%; Sun and Moonlight Semiconductor fell more than 4%.
Leading the rise in technology stock list:
Leading the fall in technology stock list:
Pinduoduo rose more than 5%. In terms of news, in addition to Europe, the United States and Southeast Asia, Africa is becoming a strategic emerging place for Chinese corporate platforms to go overseas. According to reports, Pinduoduo html launched Temu in Africa 4 a few days ago. In May this year, SHEIN also entered Morocco, Africa. Since its launch of overseas e-commerce platform Temu in September, Pinduoduo has been regarded as a benchmark for SHEIN ( Xiyin ). Both of them focus on low-price and supply chain models, and the two overseas giants both set their sights on Africa.
Other Chinese stocks , Onion Group rose more than 16%, Jinyang Education rose more than 14%, Water Drop Company rose more than 10%, Fog Xin Technology , Xunniao Software, Ronglian Cloud Communication rose more than 7%, Xinyang , Ningsheng International, Jiuzi New Energy, Daquan New energy rose by more than 6%, Tuanche, PanGenogene, Douyu , Baosheng Technology, Dunxin Finance, Monster Charging rose by more than 5%, Ranshi Medicine, Boqi Pet, Zhongbei Energy rose by more than 4%, Fangduoduo , Shengwang, Yuchai International, Wanchun Pharmaceutical, China Green Agriculture, Continental Science and Technology, Miniso, China Natural Resources, E-Home Quick Service, Aorigin Seed Industry, Pingtan Ocean, Liandai Technology, Yunmi Technology, etc. rose by more than 3%.
Yueshang Group fell more than 7%, Youkelian , China Accusation Holdings, Kuke Music , Dajianyuncang , Wunong.com, etc. fell more than 5%, Panhua Finance, Huafu Education, Anbo Education , Sun and Moonlight Semiconductor, Nova Furniture, Su Xuantang, Xiaobai Maimai, Zhiwen Group, Yingxi Group, Zhihu, etc. fell more than 4%, Kaixin Automobile, China Pharmaceutical Holdings Co., Ltd., Shanggao, Pintitanium, Beike, Yuhui Sunshine, Gaotu, Shangde Institution, Best Group, Yihang, Green Hotel, etc. fell more than 3%.
leads the rise in Chinese stocks list:
leads the fall in Chinese stocks list:
Tuesday US stocks turnover champion Tesla closed up 0.38%, with a turnover of 16.58 billion US dollars. Twitter froze its employees' equity reward account on Monday, as the deadline for a deal with Musk is approaching. It is reported that Twitter updated its employee FAQ page this week, reminding employees that they will not be able to access or trade shares in the Equity Reward Center. The page said the change was "an expected Musk-controlled entity to close its acquisition of Twitter," according to two people familiar with the matter.
More auto sector rises and falls and market value rankings
Three major European stock indexes rose across the board on the same day. As of the close, the London stock market in the UK, the average price index of 100 stocks closed at 6936.74 points on the 18th, up 16.50 points from the previous trading day, an increase of 0.24%.
stocks , on the same day, industrial stocks among the components of the London stock market led the rise, with the top five stocks in the top five: paper packaging company Smurphy Capa Group rising 6.36%, Rolls-Royce Holdings Company's share price rose 3.79%, packaging company David Solomon Smith Company's share price rose 3.75%, United Utilities Group's share price rose 3.16%, and building materials supplier CRH's share price rose 2.80%.
On the same day, energy stocks led the decline, with the top five stocks in the decline: Port Energy Company's share price fell 4.36%, British natural gas supplier Centrek Group's share price fell 4.07%, property investment company Segro's share price fell 2.14%, Bangrui Real Estate's share price fell 2.03%, and telecom operator Airtel Africa's share price fell 1.64%.
In terms of the other two major stock indexes in Europe, the Paris Stock Market CAC40 index of France closed at 6067.00 points, up 26.34 points from the previous trading day, up 0.44%; the DAX30 index of Germany's Frankfurt stock market closed at 12765.61 points, up 116.58 points from the previous trading day, up 0.92%.
company news
[It is said that the iPhone 14 Plus was cut in less than two weeks after it was listed]
Eastern Time on Tuesday, according to media reports, two people involved in the Apple supply chain said that less than two weeks after the iPhone 14 Plus debuted, Apple is cutting the production of the model, which caused Apple's stock price to dive in the short-term intraday to nearly 3%. Apple has asked at least one Chinese manufacturer to stop production of iPhone 14 Plus components immediately, while its purchasing team reassess the demand for the product, people familiar with the matter said. Apple positioned the iPhone 14 Plus as a cheaper alternative to the iPhone Pro model, but with a larger screen.
[Apple October new product: M2 version iPad Pro starts up, the entry-level model iPad update design]
On Tuesday evening, Beijing time, three new iPad products were launched after a brief update, which also means that the suspense of Apple's "new product in October" has been revealed.In line with previous market revelations, the Pro series has upgraded the latest M2 chip, and the entry-level iPad has also updated the template, which is closer to the design language of the entire series.
[Netflix subscribers exceeded expectations in the third quarter]
Netflix revenue in the third quarter was US$7.93 billion, analysts expected US$7.85 billion; streaming paying users in the third quarter increased by 2.41 million, estimated 1 million; earnings per share in the third quarter was US$3.10, estimated 2.12; the company expects revenue in the fourth quarter to be US$7.78 billion, estimated 7.98 billion; the company expects earnings per share in the fourth quarter to be US$0.36, estimated 1.20; the company expects streaming paying users in the fourth quarter to be 4.5 million, and the market expects to increase 3.9 million. Netflix's U.S. stock price rose by more than 10% after the market trading session.
[Goldman Sachs CEO’s comments “It’s time to be careful”]
Goldman Sachs Group released its third quarter financial report on Tuesday. Against the backdrop of global investment banks experiencing a cold winter of performance, the strong growth of fixed income business helped Goldman Sachs successfully pass the performance test of its third-quarter report. What also attracted the attention of the market is that Goldman Sachs also confirmed another structural restructuring under the rule of Goldman Sachs CEO Solomon today. Solomon said: "I think it's time to be cautious. If you are running a risk-based business, then it's time to consider the risks you face and the risk preferences of more carefully. You have to expect more fluctuations next. This sentence doesn't mean we will encounter very difficult situations, but in terms of the results distribution, the United States is likely to fall into recession."
[Amazon will invest more than 1 billion euros for the electrification of its European fleet]
Amazon will invest more than 1 billion euros for the electrification of its European transportation network. The company's zero-emission fleet in Europe is expected to increase to more than 10,000 by 2025. In addition, Amazon will invest in the construction of thousands of car charging stations in European facilities.
[As the transaction period with Musk is approaching, Twitter has frozen the employee's equity reward account]
Twitter froze the employee's equity reward account on Monday because the deadline for reaching an agreement with Musk is about to come. It is reported that Twitter updated its employee FAQ page this week, reminding employees that they will not be able to access or trade shares in the Equity Reward Center. The change was "an expected Musk-controlled entity to close its acquisition of Twitter," according to two people familiar with the matter.
