Russia and Ukraine will hold the second round of negotiations on Wednesday (2nd), and Federal Reserve Chairman Powell will speak at the hearing on the same day. Investors hold their breath to pay attention to market dynamics, and U.S. stocks open higher and higher. At press time, the Dow Jones Industrial Average was up nearly 300 points or 1%, the Nasdaq Composite was up 0.73%, the S&P 500 was up 0.93% and the Philadelphia Semiconductor Index was up more than 2%.
According to a number of foreign media reports, Russia and Ukraine will conduct a second round of negotiations on Wednesday, with the same representatives attending the previous round. Kremlin spokesman Dmitry Peskov said he was ready to negotiate and hoped that Ukrainian negotiators would come to negotiate.
Fed Chairman Powell will speak at the hearing and is expected to mention the impact of the Russian-Ukrainian war on inflation prospects and monetary policy. In addition, the United States announced the same day in February small non-farm ADP employment data, employment was 475,000, better than expected 375,000.
In commodities, the Organization of the Petroleum Exporting Countries and its partners (OPEC+) on Tuesday still decided to maintain their plan to increase production by 400,000 barrels of crude oil a day, indicating that OPEC+ heavyweights such as Saudi Arabia and the United Arab Emirates are not yet ready to offend. Russia, lest the alliance disintegrate and make the situation more difficult to manage.
Earlier, the International Energy Agency (IEA) had agreed to release 60 million barrels of oil storage to stabilize oil prices, but there was still no cooling in oil prices. Before the deadline, West Texas crude oil rose 6.07% to 109.69 per barrel. DollarBrent crude oil rose 6.37% to 111.66 a barrel Dollar。
As of 22:00 on Wednesday (2nd) Taipei time:
- The Dow Jones Industrial Average rose 303.30 points, or 0.91%, to 33,598.25
- The Nasdaq Composite added 98.95 points, or 0.73%, to trade at 13,631.41
- The S&P 500 rose 40.06 points, or 0.93%, to trade at 4,346.32
- Feihan rose 67.08 points or 2.03% to temporarily report 3,37.93 points
- TSMC ADR rose 0.43% to 108.51 per share Dollar
- 10-year U.S. Treasury yield rose to 1.7870%
- New York Light crude oil rose 6.07% to 109.69 a barrel Dollar
- Brent crude rose 6.37% to 111.66 a barrel Dollar
- Gold fell 0.79% to 1,928.50 an ounce Dollar
- DollarIndex rose to 97.58
Stocks in focus:
Nordstrom(JWN-US) rose 29.73 to 25.35 per share in early trade Dollar
Nordstrom reports better-than-expected fourth-quarter earnings before the market opens, with Q4 revenue of 4.49 billionDollarEarnings per share reported 1.23 Dollarboth better than market estimates of 4.36 billion and 1.02 Dollar. In addition, the company has given a bright financial forecast, predicting an annual increase of 5% to 7% in fiscal 2022, including retail and credit card revenue.
Salesforce(CRM-US) rose 0.19% to 209.29 per share in early trade Dollar
Global cloud customer relationship management (CRM) software leader Salesforce reports good fourth-quarter earnings and full-year forecasts, with Q4 revenue up 26% annually to 7.33 billionDollaradjusted earnings per share reported 0.84 Dollarboth due to market estimates of 7.24 billion and 0.74 Dollar.In addition, the company expects revenue in the first quarter of fiscal 2023 to be between 7.37 billion and 7.38 billionDollarbetter than the market estimate of 7.26 billionDollar。
SoFi (SOFI-US) rose 10.71% to 12.37 per share in early trade Dollar
Fintech company SoFi Technologies reported better-than-expected fourth-quarter earnings, with a net loss of 111 million in the previous quarterDollarloss per share 0.15 Dollarwhich beat market estimates of a loss per share of 0.16 Dollarthe fourth quarter revenue reported 286.5 millionDollaralso better than market expectations of 279 millionDollar. In addition, the company added 523,000 new users in the fourth quarter of last year, a record high.
Today’s key economic data:
- US February ADP payrolls reported 475,000, expected 375,000, the previous value – 301,000
- US weekly EIA crude oil inventory changes reported -2.597 million barrels, expected to be 2.287 million barrels, the previous value of 4.514 million barrels
Wall Street Analysis:
Frances Donald, global chief economist and head of macroeconomic strategy at Manulife Investment Management, believes that high inflation will cool down, but the speed will be affected by the situation in Russia and Ukraine. In addition, supply chain disruptions may limit the replenishment of inventories that drive economic growth in the second half of the year. The chances of the former returning to their comfort zone seem slim.
Matthew Weller, head of global market research at GAIN Capital, said that Western countries are increasingly sanctioning Russia, such as freezing assets and cutting off links between many Russian entities and banks and SWIFT, and Russia has also moved nuclear weapons to counter Western sanctions, indicating that The risk-off tone might continue throughout the week, if not longer.
Karl Schamotta, chief market strategist at Cambridge Global Payments, said that with the increasing likelihood of a global oil crisis of the type of the 1970s, investors are turning to safe-haven assets at the fastest speed.
Michael Hewson, chief market analyst at CMC Markets, said soaring oil and wheat prices dimmed prospects for a turnaround in inflation, and the sanctions that followed the Russian invasion might make the situation worse, affecting key global supplies of raw materials, goods and services. Demand has a significant impact.