ADDX Go Market Morning Wrap - 25 October

Market Key Focus

US Market

- Markets

The Dow Jones Industrial Average was the only one to fall in the US stock market.

The Dow Jones Industrial Average fell for four consecutive days, dragged down by the earnings reports of IBM and Honeywell, and fell as much as 323 points on Thursday.

The S&P rose as much as 0.4% during the day, ending a three-day losing streak.

Tesla closed up nearly 22%, supporting the Nasdaq and the discretionary consumer sector to lead the gains. The Nasdaq rose as much as 0.8% during the day, and the discretionary consumer sector rose 3.2%, while the raw materials, utilities and industrial sectors lagged behind.

- Stocks

Amazon closed up 0.9%, and Meta closed up 0.73%.

Nvidia closed up 0.61%. Nvidia reached an AI infrastructure co-construction cooperation with several Indian technology giants.

Microsoft closed up 0.03%, while Google A closed down 0.04%. The UK antitrust regulator officially investigated Google's investment in Anthropic AI.

Apple closed down 0.08%. For AI, Apple will release three new Mac products with M4 chips next week.

Tesla closed up 21.92%. Tesla raised its full-year capital expenditure forecast for 2024. The company's third-quarter earnings exceeded expectations. The third-quarter report brought the best single-day performance in more than eleven years, driving the Wood ETF up more than 3.5%.

- Treasury

U.S. Treasury yields fell across the board but remained above 4.00%, with the 10-year Treasury yield falling by about 4.2 basis points, down from a three-month high.

- FX

The U.S. dollar index fell by about 0.4% on Thursday, bidding farewell to three consecutive days of gains and also falling away from its nearly three-month high. DXY fell 0.38% in late trading to 104.030 points, and once refreshed the daily low to 104.012 points during the session.

Asian Market

- Markets

Asia-Pacific stock markets were basically flat, with Vietnam's stock index falling more than 1%, Nikkei 225 closing up 0.1%, and South Korea's KOSPI index closing down 0.72%.

The Nasdaq Golden Dragon China Index fell 1.6% and then closed down 0.82% at 6,829.53 points. Among ETFs, the China Technology Index ETF (CQQQ) closed down 1%, and the China Internet Index ETF (KWEB) closed down 1.24%.

- FX

The yen rose 0.62% to 151.82 against the dollar in late trading, The Bank of Japan's "no move" in October is almost certain, and the key lies in how the "inflation outlook" will be adjusted.

The offshore RMB once rose by more than 190 points to break through 7.12 yuan

European Market

- Markets

The European STOXX 600 index closed up 0.03% at 518.98 points. The Eurozone STOXX 50 index closed up 0.26%, and the FTSE Euro Stoxx 300 index closed up 0.05%. The sectors rose and fell, with travel and leisure stocks rising 3.1%, while chemical stocks fell 0.65%.

Germany's DAX 30 index closed up 0.34%, France's CAC 40 index closed up 0.08%, the Netherlands' AEX index closed up 0.67%, Italy's FTSE MIB index closed up 0.00%, and the UK's FTSE 100 index closed up 0.13%.

- Stocks

Among the constituent stocks, French automaker Renault's revenue unexpectedly rose in the third quarter due to strong demand for its high-priced models. It rose more than 7% during the day and closed up 4.7%.

Barclays' third-quarter results were better than expected, and it rose more than 5% during the day and closed up 4.2%.

French luxury brand Hermès' sales in the third quarter increased by 11% due to the continued strong demand for platinum bags. Its stock price rose more than 2.3% during the day and closed up 1%.

- Treasury

The money market's expectations for a 50 basis point rate cut by the European Central Bank in December have increased, and the 10-year German bond yield has fallen by about 4 basis points. British bond prices have fallen after rising, and British Chancellor of the Exchequer Reeves is open to expanding budget financing.

- FX

The euro rose 0.43% against the dollar to 1.0828; the pound rose 0.41% against the dollar

Cryptocurrency Market

Bitcoin, the largest cryptocurrency by market value, rose 2.80% to $68,220.00 in late trading, while Ethereum, the second largest cryptocurrency, rose 1.00% to $2,533.50.

Macro

1. U.S. economic data supports traders' bets on a regular 25 basis point rate cut in November. Markit data for October hit a two-month high, with strong service industry and improved manufacturing, and the lowest price inflation index in four and a half years; new home sales in September exceeded expectations to a one-year high; the number of first-time unemployment claims last week hit the lowest since the end of September, and the number of continued claims was the highest in nearly three years, indicating that long-term unemployed people have difficulty finding jobs again and the job market has cooled.
2. The Eurozone's October manufacturing PMI continued to be sluggish, business activities stagnated. German manufacturing was better than expected, and France's overall contraction accelerated. Traders tend to believe that the European Central Bank will cut interest rates by 50 basis points in December.
3. The preliminary reading of the UK's manufacturing PMI in October was on the verge of shrinking to a six-month low, and the services PMI hit an 11-month low, but Mann, the most hawkish voter of the Bank of England, was cautious about cutting interest rates, saying that service inflation pressure has not been eliminated.

Earning For Today

Market Events

Stocks to Focus

1. Boeing fell more than 3.2% and closed down 1.18%. The union said that the striking Boeing workers refused to accept the agreement and would continue the strike.

Gold to Track

Expectations of rate cuts and safe-haven demand pushed gold prices up more than 1% during the session, approaching historical highs again