Nasdaq Gains Over 100 Points, Bond Yields Retreat

U.S. stocks closed higher on Thursday, with the 10-year U.S. bond yields reaching a 16-year high before retracing. The U.S. real GDP grew by 2.1% in the second quarter.

As September trading draws to a close, major stock indices are set to record significant declines for the month and the third quarter.

The fluctuation in U.S. Treasury yields has raised concerns. On Thursday, the 10-year U.S. Treasury yield surged to a high of 4.688%, the highest since 2007, before slightly retreating to close down nearly 5 basis points at 4.579%.

Currently, U.S. stock trading for September and the third quarter is entering its final phase. Due to the recent continuous increase in U.S. Treasury yields, major stock indices are expected to post significant declines in both September and the third quarter.

U.S. Stocks

Fundamental Analysis:

Most large tech stocks saw gains, with Tesla and Meta rising by over 2%, Google gaining over 1%, and Apple and Microsoft posting slight increases. Netflix and Amazon saw modest declines.

The chip and semiconductor sectors were among the top performers, with AMD and Arm rising by nearly 5%, and Nvidia, Intel, and Qualcomm gaining over 1%.

Bank stocks rose across the board, with JPMorgan, Goldman Sachs, Citigroup, and Bank of America gaining over 1%. Morgan Stanley and Wells Fargo saw slight increases.

Micron Technology fell by over 4%, reporting an operating loss of over $1.2 billion for its fourth quarter, although it exceeded expectations.

Chinese concept stocks experienced mixed performance, with the Nasdaq China Golden Dragon Index rising by 0.27%.

Nio gained over 5%, XPeng Motors rose by over 3%, Weibo surged over 2%, and Vipshop gained over 1%.

Manbang, Pinduoduo, Baidu, and Futu Holdings saw modest increases. iQiyi fell by over 2%, while JD.com, Li Auto, Alibaba, Tencent Music, Netease, and Bilibili saw slight declines.

Technical Analysis:   

(S&P 500 Index, 1-day chart)

Market Trends:

  • Dow Jones Industrial Average rose by 116.07 points, or 0.35%, closing at 33,666.34 points.
  • Nasdaq Composite Index gained 108.43 points, or 0.83%, closing at 13,201.28 points.
  • S&P 500 Index increased by 25.19 points, or 0.59%, closing at 4,299.70 points.

Hong Kong Stocks

Hong Kong stocks opened higher and continued to rise. Among major tech stocks, Meituan rose by nearly 4%, and Tencent Holdings gained nearly 3%.

Property stocks remained strong, with Country Garden Group surging by nearly 9%, followed by Longfor Group and Evergrande Group.

Automotive stocks were active, with all three major new energy vehicle companies rising.

Nio and XPeng both gained nearly 9%. Pharmaceutical stocks, which were active in the previous session, saw some adjustments.

Property stocks continued to rise, with Country Garden Group surging by over 12%, while Longfor Group and Evergrande Group followed suit.

According to reports, Shenzhen will adjust and optimize the minimum interest rates for personal housing loans starting from September 29.

The minimum interest rate for first-time homebuyers’ commercial personal housing loans will be adjusted to not less than 10 basis points below the corresponding loan market quoted interest rate (LPR), and the minimum interest rate for second-time homebuyers’ commercial personal housing loans will be adjusted to not less than 30 basis points above the corresponding LPR.

Technical Analysis:

(Hang Seng Index, 1-day chart)

Market Trends:

  • Hang Seng Index (HSI) rose by 2.71%, closing at 17,843.13 points.
  • Hang Seng Tech Index (HSTECH) gained 3.66%, closing at 3,916.26 points.
  • Hang Seng China Enterprises Index (HSCEI) increased by 2.79%, closing at 6,157.45 points.

FTSE China A50 Index

Fundamental Analysis:

The A-share market in China remained closed for the entire day in light of the China National Day holiday.

Forward-looking Statements   
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Doo Prime has provided these forward-looking statements based on all current information available to Doo Prime and Doo Prime’s current expectations, assumptions, estimates, and projections. While Doo Prime believes these expectations, assumptions, estimations, and projections are reasonable, these forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond Doo Prime’s control. Such risks and uncertainties may cause results, performance, or achievements materially different from those expressed or implied by the forward-looking statements.    

Doo Prime does not provide any representation or warranty on the reliability, accuracy, or completeness of such statements. Doo Prime is not obliged to provide or release any updates or revisions to any forward-looking statements.   

Disclaimer 
While every effort has been made to ensure the accuracy of the information in this document, DOO Prime does not warrant or guarantee the accuracy, completeness or reliability of this information. DOO Prime does not accept responsibility for any losses or damages arising directly or indirectly, from the use of this document. The material contained in this document is provided solely for general information and educational purposes and is not and should not be construed as, an offer to buy or sell, or as a solicitation of an offer to buy or sell, securities, futures, options, bonds or any other relevant financial instruments or investments. Nothing in this document should be taken as making any recommendations or providing any investment or other advice with respect to the purchase, sale or other disposition of financial instruments, any related products or any other products, securities or investments. Trading involves risk and you are advised to exercise caution in relation to the report. Before making any investment decision, prospective investors should seek advice from their own financial advisers, take into account their individual financial needs and circumstances and carefully consider the risks associated with such investment decision.

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