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Cailianshe News, August 14 (Edited by Zhao Hao)Before the U.S. stock market opened on Wednesday (August 14), the latest CPI data released by the United States was generally positive, and the three major index futures rose slightly.

As of press time, Dow Jones futures rose 0.06%, S&P 500 futures rose 0.15%, and Nasdaq 100 futures rose 0.18%.

Specific data showed that the U.S. Consumer Price Index (CPI) rose 0.2% month-on-month and 2.9% year-on-year in July, returning to the "2-digit" level for the first time since March 2021, lower than the market expectation of 3%; the core indicators rose 0.2% month-on-month and 3.2% year-on-year, both in line with expectations.

Analyst Chris Anstey said initial moves in financial markets were modest, noting that a rise of more than 4 basis points in the U.S. 2-year Treasury yield showed some disappointment that inflation data had not slowed more.

Interest rate traders reduced their bets on a 50 basis point rate cut at the Fed's September meeting, and now expect a rate cut of about 33 basis points, compared with yesterday's expectations of 37 basis points. Forexlive analyst Adam Button said this shows that the market has priced in more downside surprises.

Many economists believe that the United States is likely to avoid a near-term recession, and the recent rise in unemployment was caused by temporary layoffs. This is one of the reasons why U.S. stock futures rose slightly. Yesterday, the three major indexes closed higher, with the Nasdaq soaring 2.43%.

In this regard, Allianz Chief Economic Advisor El-Erian said that the speed of the rebound has made some people on Wall Street uneasy. "I am not surprised by our rebound, but I am surprised by the speed and magnitude of our rebound."

Most European stock markets currently trading rose, with Germany's DAX30 index up 0.56%, Britain's FTSE 100 index up 0.26% and France's CAC40 index down 0.57%.

Company News

[United Auto Workers sues Trump and Musk for anti-strike remarks]

The United Auto Workers (UAW) union said Tuesday it filed federal labor charges against former President Donald Trump and Tesla CEO Elon Musk after they taunted and threatened workers participating in a strike during a conversation. "Both Trump and Elon Musk want the working class to sit down and shut up, and they openly mock that," UAW President Sean Fein said in a statement. "This is disgusting, illegal, and completely predictable behavior from these two clowns." When labor charges are filed, the National Labor Relations Board decides whether to investigate the allegations. If it concludes there were violations, penalties may be imposed.

[TSMC releases bidding for factory engineering and urgent order for CoWoS equipment]

TSMC will launch a bidding for factory engineering in the near future. Due to time constraints, it hopes to complete it between the end of the year and the first half of 2025. It is estimated that this order will be a rush order with a price increase. People in the equipment industry chain further stated that after TSMC released a rush order for CoWoS equipment in Q2, it recently increased the price to release another rush order, and it is expected to be delivered in the first half of 2025. It is expected that TSMC's monthly CoWoS production capacity will reach a maximum of 40,000 pieces by the end of 2024, and it will be further increased to 60,000 pieces in 2025. Industry insiders said that TSMC will expand production only after confirming that there is an order. Judging from the crazy expansion of its advanced process and advanced packaging, the order visibility has reached the A10 generation in 2029.

Intel sells its stake in Arm to raise funds

Intel sold its stake in chip design company Arm in the second quarter. Intel is currently laying off employees and cutting expenses to turn around its business. The company said in a regulatory filing on Tuesday that it no longer holds the 1.18 million shares of Arm it held three months ago. Based on the average price of Arm shares in the same period ($124.34), the sale will raise about $147 million for Intel.

[Ford recalls 4,595 Mustang vehicles in the U.S.]

According to the National Highway Traffic Safety Administration (NHTSA), Ford Motor Company will recall 4,595 2024 Mustang vehicles due to a possible casting defect in the rear suspension steering knuckle, which may cause it to fail, potentially resulting in reduced vehicle handling and steering control.

[Japan determines that the emergency landing of the Boeing cargo plane was an aviation accident and will conduct an on-site investigation]

The Ministry of Land, Infrastructure, Transport and Tourism of Japan has determined that the incident in which a Boeing 747 cargo plane that took off from Narita Airport to Los Angeles turned back and made an emergency landing due to a fuselage failure was an aviation accident. The Japan Transport Safety Board has appointed two aviation accident investigators and is expected to begin a field investigation on the 14th.

[Tencent Holdings: Adjusted net profit in the second quarter was 57.31 billion yuan, a year-on-year increase of 53%]

Tencent Holdings released its first half performance report, which showed that the second quarter revenue was RMB 161.12 billion, and the estimated RMB 161.35 billion, an increase of 8% year-on-year; the adjusted net profit in the second quarter was RMB 57.31 billion, an increase of 53% year-on-year. In the first half of 2024, Tencent Holdings' revenue was RMB 320.62 billion, a year-on-year increase of 7%; and the adjusted net profit was RMB 107.58 billion, a year-on-year increase of 53%.

[Norway's $1.7 trillion sovereign wealth fund slightly reduced its holdings in Meta, Novo Nordisk and ASML]

Norway’s $1.7 trillion sovereign wealth fund reduced its stakes in Meta Platforms Inc., Novo Nordisk and ASML Holding, all of which were among its top 10 holdings, in the first half of the year. Norges Bank Investment Management’s (NBIM) stake in Meta fell to 1.18%, worth about $15.1 billion at mid-year, down from 1.22% at the end of 2023, according to an updated list of investments released Tuesday. The fund held 1.75% of Novo Nordisk at mid-year, down from 1.87% at Dec. 31, while its stake in ASML fell from 2.61% to 2.54% during the same period. The Norwegian fund traditionally updates its portfolio once a year, but will do so twice a year going forward. Apple Inc., Microsoft Corp. and Nvidia Corp. were the fund’s three largest equity investments as of the end of June.

[BlackRock increased its holdings of Nvidia and ExxonMobil in the second quarter]

The 13F file shows that asset management giant BlackRock increased its holdings in seven U.S. technology giants in the second quarter, including 16.88 million shares of Nvidia, 9.69 million shares of Apple, and nearly 9 million shares of Microsoft; and reduced its holdings in Broadcom and Berkshire Hathaway.

Events worth noting during the U.S. stock market period (Beijing time)

August 14

22:30 U.S. EIA commercial/strategic crude oil inventories for the week ending August 9