April 26 Market Analysis

The performance of US stocks fluctuated during the turbulent earnings season. After experiencing early trading declines, the S&P 500 and NASDAQ indices successfully narrowed most of their declines at the close, while the Dow Jones Industrial Average fell for the second day in a row. Technology heavyweight stocks IBM and $Caterpillar(CAT.US)$ After the release of the financial report, it fell sharply, by more than 8% and 7%, respectively. At the same time, Facebook's parent company Meta Platforms also fell sharply by 10% due to poor financial reports, the biggest decline in two years. In stark contrast to this, Tesla's stock price rose 5%, while chip stocks as a whole rebounded strongly, driven by Nvidia. Nvidia closed up nearly 4% after falling nearly 2% at the beginning of the market.

According to US economic data, the GDP growth rate in the first quarter was only 1.6%, the lowest level in nearly two years, and the core PCE price index showed an accelerating trend, which further weakened the market's expectations that the Federal Reserve might cut interest rates in the near future. Meanwhile, the US Securities and Exchange Commission (SEC) is expected to refuse to approve a spot Ethereum ETF next month, and this news has also had a certain impact on market sentiment.

Under the influence of the earnings season, the stock prices of Google and Microsoft rose sharply in after-hours trading, while Intel fell. After the US macroeconomic data was released, the US dollar index and US Treasury yields both rose, while the yen continued to depreciate. The price of crude oil rebounded after falling for a while, and the price of gold also rebounded after experiencing an initial decline. In the basic metals market, the prices of both lentin and copper have shown strong performance.

In terms of the Chinese market, the overall performance of China Securities was strong. Although management wanted cars to fall slightly, the stock prices of JD and other companies rose. The offshore RMB exchange rate against the US dollar rebounded intraday. The A-share market had mixed ups and downs, and the performance of chemical stocks was impressive, while Hong Kong's Hang Seng Index rose for the fourth day in a row.