The Federal Reserve's meeting minutes suggest a pause in interest rate cuts, with "almost all" policymakers believing that Trump's policies may drive up inflation.
The "New Federal Reserve News Agency": The minutes suggest that Fed officials will temporarily keep interest rates unchanged, partly due to Trump's intention to impose tariffs, and they anticipate the risk of inflation being higher than expected.
What impact do Trump's tariffs have? Federal Reserve officials stated for the first time: Support for further interest rate cuts this year!
①Federal Reserve Governor Waller supports interest rate cuts this year, although he believes that tariffs imposed by the Trump administration may not significantly impact inflation. ②Waller expects the inflation rate to approach the Federal Reserve's 2% target in the coming months and believes that medium-term inflation will continue to move toward 2%.
Krugman: Is the crazy nature of U.S. debt due to the market believing that Trump will go insane?
Krugman proposed that the rise in long-term interest rates, such as the 10-year U.S. Treasury yield, may reflect a terrifying, quietly spreading doubt that Trump actually believes the crazy things he says about economic policy and might put them into practice.
Quantum computing, Nuclear Power, Cryptos, cannabis! USA individual investors' "favorite" collectively adjusted last night.
① Although the three major stock indices in the USA fluctuated on Wednesday, the S&P 500 Index, which performed the worst, only fell by 0.16%—a performance that cannot be considered terrible. ② However, for many American retail investors who enjoy the thrill of speculating on meme Stocks, this Wednesday seems to have been a disastrous day: because many of their favorite investment symbols experienced a remarkable collapse.
Jim Cramer Warns On 'Quantum Stories' As Stocks Plunge: 'We Need You Out Before The Froth Goes Away'
The Global bond market is experiencing a frantic sell-off, with US Treasury yields quickly approaching 5%.
The 20-year US Treasury yield has already broken through 5%, while the UK 10-Year Treasury Notes Yield has also risen to 4.82%, reaching a new high since 2008. Inflation worries have prompted traders to lower their expectations for interest rate cuts by the Federal Reserve and the Bank of England this year, and at the same time, the market is weighing the impact of President Trump's policies.
The last time the US bonds dropped like this, the US stock market also crashed.
Recently, the rise of the 10-year U.S. Treasury yield is similar to the situation in 2022 and 2023, when the stock market experienced a substantial decline. Goldman Sachs stated that although the U.S. stock market is relatively stable now, the correlation between stock and bond yields has turned negative. If economic data falls short of expectations, the risk of a market correction in the short term may increase.
The CEO of D-Wave Quantum, a quantum computing company whose value soared over eight times last year, counters that Jensen Huang's views on quantum computing are "completely wrong."
The CEO of the USA quantum computing company D-Wave Quantum, Alan Baratz, stated that Jensen Huang's views on quantum computing are "completely wrong." Previously, Jensen Huang's remarks about quantum computing alarmed Wall Street, resulting in a sharp decline in related Stocks, including D-Wave.
Futu Daily Report | Will the Federal Reserve pause interest rate cuts? Meeting minutes show officials are eager to slow down the pace of rate cuts; U.S. stocks are closed today in mourning for the death of former President Carter's.
The Trump team is reportedly considering declaring a national economic emergency to implement high and widespread tariffs; Bearish surprise! A single remark from NVIDIA CEO Jensen Huang triggered a collective drop in USA quantum computing stocks.
U.S. stock market closing | Jensen Huang caused a collapse in quantum computing stocks, QUBT fell over 43%; China Concept Stocks fell, Xiaopeng Autos dropped over 5%.
① The Nasdaq China Golden Dragon Index fell by 0.67%, with most China Concept Stocks declining; ② Wildfires ravaged California, and Electrical Utilities provider Edison International fell by 10%; ③ Jensen Huang stated that a "very useful" quantum computer may take several decades to arrive; ④ Intel: will continue to focus on the independent graphics card market.
Wall Street Closes Mixed Amid Rising Treasury Yields And Tariff Speculation
Top 20 Transaction Amount | Quantum Computing concept stocks have significantly pulled back, with IONQ dropping 39%, RGTI falling over 45%, and Jensen Huang stating that commercialization will require at least another 15 years.
On Wednesday, the stock with the highest trading volume in the US market was NVIDIA, which closed down 0.02%, with a trading volume of 31.802 billion USD. The second was Tesla, which closed up 0.15%, with a trading volume of 28.804 billion USD. The third was Apple, which closed up 0.20%, with a trading volume of 9.105 billion USD.
Bearish surprise! A statement from NVIDIA CEO Jensen Huang triggered a collective drop in USA quantum computing stocks.
NVIDIA CEO Jensen Huang admitted on Tuesday that practical applications of Quantum Computing are still several decades away. After a significant drop on Tuesday, related Concept Stocks saw an even greater decline on Wednesday, with IonQ falling by 39% and Quantum Computing down by 43.34%. Previously, these companies' stock prices had soared due to market expectations for the potential of the related technology, with Quantum Computing increasing by over 1800% in the past 12 months.
The Trump team is moving to restructure the leadership of the Federal Reserve, with Bowman likely being promoted to Vice Chair for Financial Regulation, and adjustments made to the list of Powell's successors.
According to media reports citing informed sources, Waller, who became a member of the Federal Reserve Board during Trump's first presidential term, has seen his "advantage" for becoming the chairman of the Federal Reserve significantly decline, as Trump is unhappy with his support for a substantial rate cut last September. Trump's advisory team will closely monitor the current Federal Reserve officials' statements on interest rates to assess who is suitable to take on the role of the next central bank leader.
The market is in dire straits! The stocks most favored by retail investors face a "settlement day."
On Wednesday, the speculative Stocks that a large number of retail investors favored suffered a dramatic decline, and the market was in a dire state.
IWM ETF Declines 0.5%
IShares Russell 2000 ETF Options Spot-On: On January 8th, 1.99 Million Contracts Were Traded, With 10.41 Million Open Interest
On January 8th ET, $iShares Russell 2000 ETF(IWM.US)$ had active options trading, with a total trading volume of 1.99 million options for the day, of which put options accounted for 64.53% of the
Fed Isn't Certain Where Interest Rates Will Head, Minutes Show. Inflation and Trump Are Concerns
Major Indexes Are Lower Amid Weakness in Chip Stocks.
Benzinga Market Summary: Quantum Stocks Slide On NVIDIA CEO Huang's Comments On Sector, Goldman Upgrades Spotify, US Dollar Index Rises