news

한어Русский языкEnglishFrançaisIndonesianSanskrit日本語DeutschPortuguêsΕλληνικάespañolItalianoSuomalainenLatina

Ivan, a reporter from China Fund News

On July 30, Eastern Time, the market expected that the Federal Reserve would announce on Wednesday local time that it would maintain its interest rate policy unchanged. U.S. stocks showed divergent trends, with only the Dow Jones Industrial Average closing higher among the three major indexes.

The Nasdaq was dragged down by sharp declines in several large technology stocks.Nvidia fell more than 7%, hitting a new closing low since May; Tesla fell more than 4%. Sued for global IT failure, Cybersecurity company CrowdStrike fell nearly 10% The revenue of the intelligent cloud business in the fourth quarter fell short of analysts' expectations, and Microsoft's stock price fell by more than 7% after the market closed.

On July 30th local time, Intel's US stock price rose by more than 3% after the market.Intel Thousands of employees will be laid off to reduce costs and support the company's transformation; may announce layoffs this week.

The three major indexes rose and fell before the Fed's interest rate decision ‍‍

On July 30, Eastern Time, the U.S. stock market entered a busy earnings season. The market expected the Federal Reserve to announce on Wednesday that it would maintain its interest rate policy unchanged. The three major U.S. indexes rose and fell mixed on the day, with only the Dow Jones Industrial Average rising slightly among the three major indexes.

As of the close, the Dow Jones Industrial Average rose 0.5% to 40,743.33 points; the S&P 500 fell 0.5% to 5,436.44 points; and the Nasdaq fell 1.28% to 17,147.42 points, and at one point fell by more than 2% during the session.

Nick Timiraos, the "Fed mouthpiece", wrote in his latest article that Fed officials are expected to revise their statements this week, suggesting that a rate cut in September is more likely. Seemingly insignificant changes in wording will have a significant impact on the prospects for a rate cut in September, and wording that acknowledges recent improvements in inflation and a more balanced balance of risks, as well as any changes in forward guidance, will lay the foundation for Powell's press conference.

Goldman Sachs CEO Solomon said that the possibility of one or two interest rate cuts by the Federal Reserve in the fall seems greater, and he does not think the Fed will make a decision to cut interest rates at tomorrow's meeting. Consumer behavior has indeed changed. Current M&A activity is 20% lower than the ten-year average, and M&A activities have not yet fully recovered. The regulatory environment remains a problem for M&A activities. The basic forecast for the economy remains "relatively benign," and the economic trend in the next 12 to 18 months remains unclear.

In addition, the latest data released on the U.S. Treasury Department website showed that the U.S. federal government debt has exceeded the 35 trillion U.S. dollar mark.

Big tech stocks tumble

Nvidia fell more than 7% and Tesla fell more than 4%

On July 30, Eastern Time, many large technology stocks performed weakly, dragging down the Nasdaq and S&P 500. Amazon fell 0.81%, Google rose 0.45%, Facebook fell 0.54%, Microsoft fell 0.89%, and Apple rose 0.26%.

Nvidia closed down 7.04%, hitting a new low since May. On the news front, according to TrendForce's latest AI Server report, since Nvidia will launch a new generation platform Blackwell by the end of 2024, large CSPs (cloud service providers) will also begin to build AI Server data centers based on the new Blackwell platform, which is expected to drive the penetration rate of liquid cooling solutions to 10%.

Apple is relying on chips designed by Google — rather than industry leader Nvidia — to build two key components of its artificial intelligence software infrastructure for its upcoming suite of AI tools and features, according to a research paper released by the company on Monday.

Tesla closed down 4.08%. On the news front, the U.S. National Highway Traffic Safety Administration (NHTSA) said on Tuesday local time thatTesla is recalling more than 1.8 million electric vehicles in the U.S.The main reason is that Tesla's software system has the risk of failing to detect an unlocked hood. It is understood that an unlocked hood can be fully opened and block the driver's view, increasing the risk of a crash. Before this bearish news came out, Tesla's stock price rebounded by more than 5% on Monday amid bullish sentiment.

Tesla has begun rolling out an over-the-air software update to detect if the hood of various electric vehicle models responds to opening and send a notification to customers, NHTSA said in a new statement.

Sued over global IT outage

Computer security company CrowdStrike fell nearly 10%

On July 30, Eastern Time, cybersecurity company CrowdStrike experienced a flash crash of nearly 10%.

On the news front, it is reported that Delta Air Lines has hired David Boies, a famous lawyer known as the "ace lawyer of Wall Street", to claim compensation from CrowdStrike and Microsoft.Delta Air Lines suffered huge losses this month after a cybersecurity software update malfunctioned, causing thousands of flight cancellations.。

Previously, CrowdStrike caused a software update error that caused blue screens of death on about 8.5 million Windows computers worldwide, disrupting the normal operations of multiple industries such as aviation, banking, and healthcare. The incident hit airlines particularly hard, and Delta Airlines was one of the biggest victims of the major outage.

The incident cost Delta an estimated $350 million to $500 million, and the airline is processing more than 176,000 requests for refunds or compensation after nearly 7,000 flights were canceled.

Microsoft fell more than 7% after the market closed

On July 30, Eastern Time, Microsoft released its fourth-quarter financial report after the market closed, causing its stock price to fall by more than 7% after the market closed. It is currently down nearly 3%.

According to its financial report, Microsoft's fourth-quarter earnings per share were $2.95, compared with the expected $2.92; revenue was $64.7 billion, compared with the expected $64.36 billion; net profit was $22.036 billion, compared with the expected $21.82 billion. Microsoft's fourth-quarter intelligent cloud revenue of $28.52 billion was lower than expected.

Editor: Captain

Review: Xu Wen

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)