Will the Federal Reserve pause interest rate cuts in 2025? Investment banks say strong economic growth is key to the US stock market! Four types of Stocks may benefit.
In the early hours of December 19 (this Thursday), the Federal Reserve will announce its decision from the December interest rate meeting. Some Analysts believe that further rate cuts by the Federal Reserve could have negative consequences.
U.S. stock market early session | The three major Indexes weakened slightly, while Tesla, Google, and Apple rose against the trend, with stock prices reaching all-time highs; Quantum Concept stocks continue to soar, with QUBT rising nearly 30%.
The market is waiting for the USA Federal Reserve's last monetary policy decision of the year. Retail sales in the USA in November exceeded expectations.
US Stock Market Outlook | Higher than expected! USA retail sales data hits a new high since September, with the declines in the three major futures contracts narrowing; Tesla continues to rise nearly 2% in pre-market trading and is set to hit a new histor
The Quantum Computing concept stocks are seeing an expanded pre-market increase, with Quantum rising over 17%; Pfizer is up nearly 3% in pre-market trading! Revenue is expected to reach 61 billion to 64 billion dollars by 2025.
Daily Options Tracking | Broadcom Options Volume has surged for two consecutive days! One Call order made a nearly 10-fold profit; Micron Calls soared to 78%, with large investors spending tens of millions of dollars on L to hedge against downside risks.
Impacting a market cap of 2 trillion dollars! Tesla's overnight close surged over 6% to reach a new high, with implied volatility rising to 80.49%. Options volume reached 3.05 million contracts; for this Friday's expiration, the call option with a strike price of 500 dollars had the highest volume at 0.116 million contracts, with an open interest of 0.044 million contracts.
DWS: Forecasts the Federal Reserve will reduce interest rates three times before the end of next year.
DWS has lowered its interest rate cut forecast from 5 times to 3 times before the end of 2025 (including one cut in December).
Asia-Pacific Markets Trade Mixed Ahead of Central Bank Meetings
It's related to the Federal Reserve! The growth in productivity in the USA may continue.
Policymakers hold an open attitude towards the sustained growth of productivity, which may lead the Federal Reserve to reconsider its outlook on the economy and interest rate cuts.
Futu Morning Report | Goldman Sachs expects the Fed to "skip" interest rate cuts in January! Powell's speech may impact the market; Tesla surged over 6%, boosting the Nasdaq, and Quantum Concept stocks collectively exploded.
China's central bank has recently announced to appropriately reduce the reserve requirement ratio and interest rates. The State Council Meeting proposed to develop and strengthen long-term capital and patient capital; Bitcoin has surpassed 107,700 dollars, setting a new historical high, Ethereum has returned to 4,000 dollars, and most cryptocurrency concept stocks have risen.
Stock Market Today: Stocks Are Mixed Ahead of the Fed
U.S. stock market morning | The three major Indexes are collectively rising, Broadcom surged nearly 9%, Tesla and Google both hit historical highs; Cryptos Concept stocks are strongly rising, MARA climbed nearly 7%, Coinbase rose nearly 4%.
On the evening of the 16th in Beijing time, several central banks will hold meetings this week and a large amount of important economic data will be released. Investors will focus on the Federal Reserve's monetary policy meeting in December.
U.S. Stock Outlook | Three major futures indexes rose collectively, with Tesla pre-market up nearly 1%, poised to set a historical high at the open; Goldman Sachs: The Federal Reserve will "skip" a rate cut in January, and may signal a slowdown in easing
Super Micro Computer fell nearly 14% before the market and was removed from the NASDAQ 100 Index component; Broadcom continues to rise 3% before the market, as Bank of America raised the Target Price to $250.
Annual Outlook | 7100 points! Wall Street refreshes the Target Price for the S&P, is a bull market in US stocks continuing in 2025?
Overall, major banks are optimistic, with the highest target for the S&P reaching 7,100 points, while the average target point according to Bloomberg Statistics is 6,496.17 points, indicating more than a 7% upside potential from the current latest closing price; many bears have flipped their positions, and only two Institutions remain cautious about the direction of the U.S. stock market.
Wall Street tycoons shout: The FED's "triple cut" this week is not unexpected, but the easing cycle will pause here!
①This Thursday morning, the Federal Reserve will announce its interest rate decision, and Wall Street widely expects a 25 basis point rate cut, achieving a "three consecutive reductions." ②Krishna Guha, Vice Director of Evercore ISI, stated, "The December FOMC meeting will mark the end of the first phase of the Federal Reserve's rate cut cycle."
There are significant differences in policy viewpoints within Trump's cabinet. Will market pricing undergo major changes?
Investors should pay attention to the policy risks of Trump 2.0.
The Federal Reserve's last interest rate decision of the year is coming this week! Retail and PCE data are going to make a big impact.
This week will see a lot of economic dynamics, among which the Federal Reserve's upcoming last interest rate decision of the year is the most prominent.
Daily Options Tracking | Entering the trillion-dollar Market Cap club! After Broadcom's earnings report, multiple call contracts earned over 10 times profit; is Bitcoin aiming for the $0.11 million mark? MSTR's implied volatility rose to 112% last Friday.
SoundHound AI rose over 23% on the previous trading day, with the Call ratio increasing to 71%, and the Options Chain volume increasing by 2.77 times to 0.525 million contracts. On the Options Chain, bulls are the market Block Orders, with the highest Call volume for this Friday's expiration at strike prices of $20 and $10, respectively 0.024 million and 18,000 contracts.
The "New Federal Reserve News Agency": After another rate cut this week, the Federal Reserve is ready to slow down or even stop cutting rates.
Nick Timiraos stated that one of the choices for the Federal Reserve this week is to cut interest rates by a quarter of a percentage point, and then strongly hint at slowing the pace of rate cuts using new economic forecasts. Facing differing opinions internally, Powell must balance policy adjustments.
Asia Markets Mixed as Traders Assess Mixed Economic Data in the Region; Eyes on Major Central Back Decisions
China's Nov Retail Sales Slows as Stimulus Impact Fades; Unemployment Rate Held Steady
Futu Morning News | Ready for the "Federal Reserve Decision Day"! More than 20 central banks from various countries will hold meetings this week; the adjustment of Nasdaq 100 constituents will take effect next week! Palantir and MSTR have been included.
This week's highlights from the Federal Reserve: There's no doubt about a rate cut in December, but January remains uncertain; Tesla's stock rose over 4% to a new high, and reports indicate that Trump's team is seeking to abolish the requirement for accident reports for autonomous vehicles.