Summary of Key Points
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Stock Behavior on Tax relief: On the final day of the 90-day trade delay, nearly all companies_metrics saw a notable increase in stock prices. Companies in sectors affecting the US economy, such as technology, financials, and consumer discretionary, experienced significant jumps.
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Notable Stocks: Tech-heavy stocks like Amazon, Apple, NVIDIA, Mera, and Tesla surged with over 10% gains. Companies like Delta Airlines, Expedia, and United Airlines also saw substantial increases, with trades in the top 30 losers.
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Bond Dynamics: Yields for U.S. bonds, particularly 10-year Treasury notes, surged 40 basis points to 4.4%, reversing the initial decline after the tariffs. This was seen as a "good storm" by Morgan Stanley, suggesting increased borrowing costs ahead.
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Market Sentiment: JPMorgan Chase CEO Jamie Dimonszczę facilitated the market by encouraging easier trade with allies in Europe and Asia, aligning with Trump’s efforts to strengthen trade relations.
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Leadership Shift: The stock market movement reflects a leadership shift, with winners in financials and tech sectors following losers.
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Interest Rates and Inflation: Although efforts by the Fed to keep interest rates positive remained largely unchanged last week, the central bank was in a tricky inflation zone with very slight negative rates.
- End-of-the-Story: The rise of US科技 companies and the presence of stocks that saw技术创新 uncovers could offer a "premeter" of a significant correlation with the 2020 election.
