news

한어Русский языкEnglishFrançaisIndonesianSanskrit日本語DeutschPortuguêsΕλληνικάespañolItalianoSuomalainenLatina

On Monday, July 22, Eastern Time, the Democratic Party of the U.S. election "changed its strategy", and the three major U.S. stock indexes all closed higher, and traders once again bet on U.S. election concept stocks.

Musk said that humanoid robots will be produced in small quantities next year. At the same time, as an electric car manufacturer that benefited from the "Democratic Party's victory", Tesla's stock rose by more than 5%, and its market value soared by US$39.2 billion (equivalent to about RMB 286.2 billion) overnight.

Energy stocks fell across the board as the "Trump deal" cooled, with U.S. WTI crude oil prices falling to their lowest level in a month.

Democratic Party changes its strategy in US election

U.S. stocks closed higher across the board

As of the close, the Dow Jones Industrial Average rose 0.32% to 40,415.44 points, the S&P 500 rose 1.08% to 5,564.41 points, and the Nasdaq rose 1.58% to 18,007.57 points.

According to CCTV International News, on the morning of July 22, local time, US Vice President Harris delivered a speech at an event at the White House. This was Harris' first public appearance after US President Biden announced on July 21 that he would withdraw from the 2024 presidential election and fully support the nomination of Harris as the Democratic presidential candidate.

According to the White House, Harris is about to travel to her campaign headquarters in Wilmington, Delaware to meet with campaign team members.

The Democratic Party has changed its stance in the US election, and Joe Biden's withdrawal has caused traders to reassess their bets on various sectors.

Some traders expect stocks that perform better after a Democratic victory to rise, while the "Trump trade" that benefits from a Republican victory will be hit. Renewable energy and photovoltaic companies, solar energy, and electric vehicle manufacturers will rise, while oil and gas, financial, and healthcare stocks will begin to cool.

According to Sina, Standard Chartered said in a client report on Monday that although Donald Trump has publicly stated that he prefers a weaker dollar, most of his policies will lead to higher inflation, higher interest rates and a stronger dollar in the short term.

Steve Englander, global head of G-10 FX research and North American macro strategy at Standard Chartered, said the dollar was unlikely to fall on its own if Trump implemented his policy agenda, at least not at first.

Technology and chip stocks performed strongly

Most technology stocks rose, with Tesla up 5.15%, Apple down 0.16%, Amazon down 0.32%, Netflix up 2.24%, Google up 2.26%, Facebook up 2.23%, and Microsoft up 1.33%.

According to Wind, Tesla CEO Elon Musk said that Tesla will produce a small number of humanoid robots for internal use next year.

A few months ago, he announced that he would launch a humanoid robot by the end of 2024. Musk said the company will achieve mass production of the robot in 2026 and "hopefully" it will be available for use by other companies.

Chip stocks performed strongly, with Applied Materials up 6.28%, NXP Semiconductors up 5.39%, ASML up 5.13%, Microchip Technology up 4.9%, Nvidia up 4.76%, Qualcomm up 4.7%, Broadcom up 2.36%, TSMC up 2.17% and Intel up 1.18%.

Crude oil futures prices lower

WTI falls to one-month low

WTI crude oil futures closed lower on Monday, falling to their lowest level in a month.

WTI crude oil futures for August delivery closed down $0.35, or about 0.44%, at $79.78 a barrel.

WTI crude futures for September delivery fell 45 cents to $78.19 a barrel, while Brent crude futures fell 47 cents, or 0.6%, to $82.16 a barrel.

According to Sina, Morgan Stanley analysts said that although the current oil market is obviously tight, it is expected to reach balance by the fourth quarter of this year and a surplus by next year, thereby pulling Brent crude oil prices to the mid-to-high $70 range in 2025.

In addition, analysts at TACenergy's trading department pointed out on Monday that crude oil market traders have accepted Biden's decision and temporarily ignored the escalation of tensions in the Middle East. They are more concerned about weak technical factors, ample inventories and weak demand.

The market believes that energy policy is likely to be one of the core debate points between Harris and Trump, but Citi analysts claim that neither will push for policies that have an extreme impact on the oil and gas business as a core position.

Energy stocks fell across the board, with Exxon Mobil down 0.69%, Chevron down 1.34%, ConocoPhillips down 1.76%, Schlumberger down 0.46% and Occidental Petroleum down 3%.

Popular Chinese stocks generally rose

Popular Chinese stocks generally rose, with the Nasdaq China Golden Dragon Index up 2.77%, TAL Education Group up 7.83%, Huya Live up 7.8%, BitDeer up 7.42%, ACM Semiconductor up 6.81%, Dada Group up 6.67%, Daqo New Energy up 6.59%, Gaotu Group up 6.58%, Zeekr up 5.71%, Zai Lab up 5.57%, and Miniso up 5.54%.

In terms of decline, Canaan Inc. fell 4.13% and iQiyi fell 3.43%.

Chinese listed new energy vehicle stocks rose collectively, with NIO up 5.04%, Xpeng Motors up 6.57% and Li Auto up 4.18%.

(Compiled by Zhao Xinyi)

Editor: Captain

Review: Chen Mo

Copyright Notice

"China Fund News" enjoys the copyright to the original content published on this platform. Reproduction without authorization is prohibited, otherwise legal liability will be pursued.

Contact person for authorized reprint cooperation: Mr. Yu (Tel: 0755-82468670)