2023-08-08 21:38:40
China’s weak trade data has triggered concerns regarding a slowdown in global economic growth. In addition, the banking crisis alert has not yet been lifted. Moody’s, an international rating authority, downgraded the credit ratings of 10 small and medium-sized banks in the United States. Italy announced a 40% windfall tax on the banking industry. Tax, the main US stock index on Tuesday (8th) all exhausted ink.
Financial stocks were under pressure, with Bank of America and Huntington Bank falling more than 1%. As U.S. bond yields climbed, large technology stocks and chip stocks both fell.
Due to adverse factors such as reduced spending on IT infrastructure and a weak Chinese economy, Novanta lowered its full-year financial forecast, and its stock price fell by more than 11%.
Shares of U.S. online education company Chegg closed up more than 4 percent on bullish optimism as it advances plans to use generative artificial intelligence (AI) to counter the threat of ChatGPT. As consumers have repurchased animal protein, the sales of vegetarian meat company Beyond Meat fell by nearly 30% in the second quarter, and its stock price collapsed by more than 14%.
Dow JonesClosed down nearly 160 points on Tuesday, the S&P edged down more than 0.4%. That fingerdown nearly 0.8 percent,fee halfIt fell more than 1.6%.
In terms of data, China’s exports fell sharply by 14.5% in July, the third consecutive month of decline, and imports fell by 12.4%, a larger-than-expected decline, showing that the slowdown in the global economy has dampened the market’s demand for Chinese goods, while China’s economic recovery has faltered .
In terms of politics and economy, Moody’s, an international rating authority, announced that it has downgraded the credit ratings of 10 small and medium-sized banks in the United States, including M&T Bank, Pinnacle Financial Partners, and Prosperity Bank. . Moody’s said the credit strength of the U.S. banking sector might be tested by weakening funding risks and profitability.
The Italian government unexpectedly approved a 40% windfall tax on banks on Tuesday, in a double-bad raid that revived fears of a renewed banking crisis.
The Federal Reserve’s “dove sound” sounded, and this year’s Federal Open Market Committee (FOMC) voter, Philadelphia Federal Reserve Bank President Patrick Harker said on Tuesday that the US economy is likely to move towards a soft landing unless there is a worrying new situation. Data, otherwise the Fed may be able to stop raising interest rates, but interest rates will still need to remain at a high level for some time.
The performance of the four major US stock indexes on Tuesday (8th): US stocksDow Jones IndexIt fell 158.64 points, or 0.45%, to close at 35,314.49.
NasdaqThe index fell 110.07 points, or 0.79 percent, to close at 13,884.32 points.
S&P 500 IndexIt fell 19.06 points, or 0.42%, to close at 4,499.38.
Philadelphia SemiconductorThe index fell 59.99 points, or 1.60%, to close at 3,679.42. Nine of the 11 major S&P sectors closed in the red, with materials losing the most (-1.05%), followed by financials (-0.98%) and consumer discretionary (-0.87%). Health care, utilities and energy bucked the trend. (Picture: finviz) Focus stocks
Of the five kings of technology, only Apple is the only one. Amazon (AMZN-US) down 1.60%; Meta (META-US) down 1.24%; Apple (AAPL-US) rose 0.53%; Alphabet (GOOGL-US) down 0.10%; Microsoft (MSFT-US) fell 1.23%.
Dow JonesMore than half of constituent stocks were lower. traveller (TRV-US) fell 1.32%; Goldman Sachs (GS-US) down 2.05%; Salesforce (CRM-US) down 2.07%; Disney (DIS-US) rose 1.5 percent; Amgen (AMGN-US) rose 3.11%.
fee halfConstituent stocks generally received black. Qualcomm (QCOM-US) down 1.41%; Applied Materials (AMAT-US) down 1.58%; AMD (AMD-US) down 3.06%; Micron (MU-US) fell 2.49%; Texas Instruments (TXN-US) fell 1.32%; Huida (NVDA-US) down 1.66%.
Taiwan ADR led by UMC. TSMC ADR (TSM-US) down 1.93%; ASE ADR (ASX-US) fell 2.44%; UMC ADR (UMC-US) fell 2.87%; Chunghwa Telecom ADR (CHT US) up 0.49%.
Corporate News
Wafer foundry leader TSMC ADR (TSM-US) fell 1.93% to US$94.49 per share, with a discount rate of 8.90%, and the conversion price was 601.15 yuan.
TSMC announced that the board of directors has approved the plan to invest in the construction of a semiconductor factory in Germany. TSMC will cooperate with Bosch, Infineon, and NXP Semiconductors (NXPI-US) to jointly invest in European Semiconductor Manufacturing Company (ESMC) in Dresden, Germany, predicting that the total investment of the project will exceed 10 billionEUR (approximately $11 billion).
Ubisoft, the global leader in express delivery (UPS-US) closed down 0.88 percent at $180.55 a share. Ubito’s second-quarter revenue fell, and Ubito cut its full-year revenue forecast by $4 billion following weaker e-commerce demand, lower package volumes and a temporary labor agreement with 340,000 unionized workers in late July.
Huida (NVDA-US) closed down 1.66 percent at $446.64 a share. Huida released an upgraded version of artificial intelligence (AI) super chip GH200 Grace on Tuesday, and plans to mass-produce it in the second quarter of next year. GH200 follows the Hopper architecture, and it can accommodate the next generation of memory without redesigning the GPU architecture, realizing the innovative Hopper architecture.
Chip foundry manufacturer GlobalFoundries (GlobalFoundries, GlobalFoundries) (GFS-US) rose 1.66 percent to $60.13 a share. GlobalFoundries announced its financial report for the second quarter of the 2023 fiscal year before the market on Tuesday. Although revenue and profit in the quarter were better than expected, GlobalFoundries predicts that revenue in the third quarter will fall short of analyst expectations because the global semiconductor industry will face supply excess dilemma.
Vegetarian Meat Enterprise Beyond Meat (BYND-US) plummeted 14.27 percent to $13.10 a share. Beyond Meat’s second-quarter revenue fell 30.5 percent year-on-year, missing Wall Street expectations as consumers flocked back to buy animal protein.
Economic data U.S. July trade balance reported at -$65.5 billion vs. -$65.0 billion expected vs. -$68.3 billion prior U.S. June wholesale inventories rose at -0.5% vs. -0.3% expected vs. -0.30 prior % U.S. June wholesale transaction sales growth reported -0.7%, expected 0.3%, previous value -0.5% Wall Street analysis
Macrae Sykes, Portfolio Manager at Gabelli Funds, commented: “Moody’s move is yet another reminder that regional bank stocks remain challenged. High exposure to commercial real estate and rising deposit and funding costs are some of the main issues facing banks.”
Citigroup analysts led by Azzurra Guelfi said the Italian windfall tax would be very bad for the banking sector, given the impact on capital and profits, as well as the impact on banks’ cost of equity.
Earnings reports for US stocks continued to run. About 86% of the S&P 500 companies have announced their earnings, and regarding 80% of the companies have better than expected performance.
Dylan Kremer, co-chief investment officer of Certuity, said: “The good news is that the time for earnings bottoming is coming, and corporate earnings growth is expected to accelerate in the next few quarters. Looking ahead, relative to revenue growth expectations, earnings forecasts seem a bit high. Especially from the first quarter of 2024.”
“The Chinese trade data was shocking enough to turn investor sentiment across the board and turn to quality trades, buying U.S. Treasuries and the dollar, while equities tumbled amid risk aversion,” said Marios Hadjikyriacos, senior investment analyst at XM.com.
Janney Montgomery Scott analyst Dan Wantrobski believes: “As the second half of 2023 approaches, the stock market in general may retreat 5% to 10% from recent highs.”
The numbers are all updated before the deadline, please refer to the actual quotation
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