Why did the US stock market rebound on Thursday? The hope of a soft landing, the trading characteristics of Powell, and the catalyst of zero-date options.
Unemployment data strengthens confidence in a soft landing; the market's immediate trend after the Federal Reserve announces interest rate cuts is often unstable and irrational; since Powell took office, the stock market usually declines in the last hour of Federal Reserve decision days; market maker funds flow analysis shows that on Thursday, the S&P was supported at 5700 points, driven mainly by zero-date options 0DTE positions.
“Recalibrating” interest rate cuts sparked a frenzy in US stocks, and the Dow broke the 42,000 mark for the first time
The Federal Reserve announced a sharp 50 basis point cut in interest rates in its September interest rate decision, and described this rate cut as triggering a sharp rise in the stock market after a “recalibration” of its monetary policy, while the “recession” dwarfed the “recession.”
Futu Morning Post | US Stock Carnival! Yellen praised the interest rate cut as injecting a “positive sign” into the US economy; Chinese securities have exploded! The general index surged by more than 4%
Yellen praised the interest rate cut as a "positive sign" for the US economy, emphasizing that the primary task is to ensure that the job market "remains strong"; Summers, the former US Treasury Secretary and whistleblower on high inflation, said that the future interest rate cut is expected to be less than the Federal Reserve's forecast.
Replicating the 'soft landing of reduced interest rates' in 1995, is Powell going to be like Greenspan?
Considering the current economic and interest rate environment and the fundamental differences compared to previous years, if the Federal Reserve also wants to lead the economy to achieve a soft landing, they must accelerate their pace.
Three key points to watch in the morning session ~ Buying back activity intensifies before the Bank of Japan's results are revealed ~
The Japanese stock market on the 20th started with a buying streak, but there seems to be a strong sense of deadlock, and the strength of the buying interest on the dips is likely to be recognized. On the 19th, the US market saw the Dow Jones Industrial Average rise by 522 points, and the Nasdaq rise by 440 points. The Federal Reserve Board (FRB) decided to cut interest rates by 0.5% at the Federal Open Market Committee (FOMC) meeting held until the 18th.
Top 20 turnover | Tesla soared over 7%, with a high target of $310 from Morgan Stanley; Bitcoin rose above $0.062 million, and the holding stock MicroStrategy surged over 9%
On Thursday, Nvidia, ranked first in trading volume in the U.S. stock market, rose by 3.97%, with a trading volume of $34.744 billion. Tesla, ranked second, rose by 7.36%, with a trading volume of $24.69 billion. Apple, ranked third, rose by 3.71%, with a trading volume of $15.249 billion. MicroStrategy, ranked twelfth, rose by 9.04%, with a trading volume of $2.917 billion.
U.S. stocks hit a new high again! Wall Street's highest target: s&p 500 is expected to soar to 6100 points by the end of the year.
S&P, Dow both hit record highs, Wall Street traders bet that the Federal Reserve will achieve a soft landing, and the crazy rise of US stocks is far from over.
Will the volatility come back? Goldman Sachs expects increased risk and recommends buying VIX call options.
According to Goldman Sachs' model estimation, based on the current macro environment, the VIX level should be 24.5, significantly higher than the current level; and over the past 30 years, the VIX has averaged a 6% increase from September to October each year; the US stock market also faces macro/macro catalysts such as the election, Fed meeting, and October earnings season.
US Treasury Sec. Yellen: The Fed Rate Cut Is Very Positive Sign for the Economy
US stocks close | Nasdaq rose 2.5%, Dow Jones, S&P hit record highs; chip stocks, Chinese concept stocks shine, Tesla rose more than 7%, Nvidia rose nearly 4%
The US unemployment benefits data strengthens expectations of an economic soft landing, with the Dow Jones breaking the 0.042 million point mark for the first time and the S&P closing above 5700 points for the first time. The Nasdaq rose 3% at one point, the chip index rose 5.7% at one point, the bank index rose nearly 3%, and the Chinese concept index rose over 4%.
After-hours plummeted by more than 11%! "The" 'USA economic indicator "FedEx' began this fiscal year with a thunderbolt, with profits plummeting by over 20%.
FedEx's first-quarter revenue declined instead of increasing, with EPS falling more than four times analysts' expectations; the EPS guidance range for this fiscal year has been downgraded by up to 6.7% from previous expectations, and the revenue guidance year-on-year growth rate has been lowered from low to low single digits; the company plans to repurchase $1.5 billion in this fiscal year. Executives said that the adjusted guidance reflects the impact of cost-cutting measures, which help offset the weaker-than-expected demand trend.
US stock market closing: Rate cut bullish delayed effectiveness! Dow Jones and S&P hit new historical highs, China concept stock index rose 4%.
①China concept stocks were up across the board, with the NASDAQ Golden Dragon Index in China rising by 4.15%; ②Nike said Elliott Hill will succeed John Donahoe as the company's CEO; ③FedEx lowered its adjusted full-year EPS outlook; ④Cruise will resume testing of autonomous driving Tobotaxi in California in the fall.
ProShares UltraPro Short QQQ ETF Options Spot-On: On September 19th, 434.51K Contracts Were Traded, With 1.51 Million Open Interest
On September 19th ET, $ProShares UltraPro Short QQQ ETF(SQQQ.US)$ had active options trading, with a total trading volume of 434.51K options for the day, of which put options accounted for 16.4% of
US "initial claims" data hits a four-month low, enhancing the Fed's vision of a "soft landing"
① In the week ending September 14, the number of people who applied for unemployment benefits for the first time after seasonal adjustment was 0.219 million, the lowest figure since May 25 this year; ② Jefferies Financial analyst wrote that although this number has been gradually increasing this year, the increase is very moderate and it is difficult to be seen as a sign of economic contraction.
After correctly predicting the magnitude of the interest rate cut in September, Morgan Stanley predicts that the next round of significant easing will depend on the job market.
jpmorgan economists, the wall street giant, correctly predicted the 50 basis point rate cut by the federal reserve on wednesday. They stated that another significant rate cut will depend on the weakening of the labor market in the usa.
The Federal Reserve's first rate cut in four years, with Bank of America predicting a further 75 basis point cut before the end of the year.
Bank of America Global Research Company said on Wednesday (September 18th) that it is expected that the Federal Reserve will cut interest rates by 75 basis points for the remaining time this year, which is higher than previously estimated. Bank of America also pointed out that the Federal Reserve may further reduce interest rates by 125 basis points by 2025. On the same day, Goldman Sachs predicted that the Federal Reserve would cut interest rates by 25 basis points multiple times until mid-2025.
Is the Federal Reserve starting an interest rate cut cycle on the cusp of a wave, possibly revealing the outcome of the election in advance?
Taking history as a lesson, in an election year with declining interest rates, the probability of the incumbent president or challenger winning is greater.
Wall Street is in an uproar! After the bold move by the Federal Reserve, where will it go from here?
JPMorgan predicts that the Federal Reserve will cut interest rates by 50 basis points in November, but it depends on the weakness of the US labor market. Bank of America believes that there will be another 75 basis points cut before the end of the year. Goldman Sachs and HSBC, on the other hand, expect a 25 basis points rate cut in each of the next six monetary policy meetings.
Express News | Jefferies Financial Group: Initial jobless claims hit a 5-month low, indicating a stable business environment.
US stocks pre-market: NASDAQ up more than 2%, S&P 500 index, Dow Jones hit new record highs again; growth tech stocks collectively rise, nvidia, tesla up about 5%.
The Federal Reserve has initiated the long-awaited interest rate cut cycle, announcing a 50 basis point cut. This move will protect the world's largest economy from economic recession, causing a wave of risk appetite in global financial markets on Thursday, driving the stock market, US dollar, gold, and oil prices to rise simultaneously.