Financial Markets Around World

Grok "what's happening in financial markets today"

Based on the information available up to September 23, 2024, here's a summary of what's happening in financial markets:

• Stock Markets: The S&P 500 has hit an all-time high, buoyed by hopes of a soft economic landing and expectations of Federal Reserve rate cuts. This optimism has led to a significant rally in stocks, with the S&P 500 and other indices like the Nasdaq 100 and Russell 2000 experiencing notable gains.
• Interest Rates and Treasury Yields: There's anticipation around more aggressive Federal Reserve rate cuts, influencing treasury yields to rise as investors adjust their expectations for monetary policy. This shift indicates a market belief in looser monetary conditions, potentially fueling further economic activity or inflation concerns.
• Cryptocurrency Markets: There's a noticeable interest in cryptocurrencies, with mentions of Bitcoin ETF inflows decreasing but still significant activity in meme coins. The crypto market seems to be reacting to broader financial trends, including liquidity increases and lower interest rates, which traditionally favor risk-on assets like cryptocurrencies.
• Global Economic Indicators: Various economic indicators like PMIs (Purchasing Managers' Index) from different regions are on the radar, suggesting a mixed bag with some slowdowns in private sector activity (like in Germany) but also optimism around U.S. economic data supporting the soft-landing narrative.
• Forex and Commodities: The USD/CNH pair showed movement, indicating forex market activity possibly influenced by interest rate differentials or trade policies. Gold is holding strong, reflecting its status as a hedge against inflation or currency devaluation, especially with central banks buying gold.
• Market Sentiment: There's a general bullish sentiment, partly driven by expectations of easier monetary policy, which could lead to increased liquidity in markets. However, there's also caution around how sustainable this bullish trend is, especially with mentions of potential corrections or shifts in market dynamics like the bond market.
• Economic Policy and Central Bank Actions: Discussions around central bank decisions, like those from the RBA (Reserve Bank of Australia) and SNB (Swiss National Bank), alongside comments from Fed officials, suggest a week filled with policy updates that could sway market directions.
• Corporate and Sector-Specific News: Specific sectors like banking are expected to benefit from rate cuts, with regional banks potentially catching up after underperforming. Meanwhile, individual companies like FedEx and Nike are making headlines for their corporate announcements, influencing sector-specific market movements.

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Whats everyones opinion about $BABA and other cn stocks

Dollar looks cooked, gold and silver already reacting to the ongoing devaluation.

Pepper said:

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Dollar looks cooked, gold and silver already reacting to the ongoing devaluation.

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Not surprising.

Fed likely to buy up another 2 - 5 trillion of US bonds in the coming 6 to 12 months (after rates have been lowered, cuz who else is gonna buy those bonds. Another 2 trillion of those bonds needs to be brought in 2025 to fund the 2025 budget).

So in other words, more money printing, which will spur many countries to avoid trading in dollar even more, and reduce the fxrate of the dollar (to for example Yuan, already, the dollar is losing against the Yuan now).

Michaelsinodef said:

Not surprising.

Fed likely to buy up another 2 - 5 trillion of US bonds in the coming 6 to 12 months (after rates have been lowered, cuz who else is gonna buy those bonds. Another 2 trillion of those bonds needs to be brought in 2025 to fund the 2025 budget).

So in other words, more money printing, which will spur many countries to avoid trading in dollar even more, and reduce the fxrate of the dollar (to day Yuan).

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The buy might even happen before year end (so that Congress doesn't need to raise or open up the debt ceiling, which is currently unlimited until 2025).

Michaelsinodef said:

Not surprising.

Fed likely to buy up another 2 - 5 trillion of US bonds in the coming 6 to 12 months (after rates have been lowered, cuz who else is gonna buy those bonds. Another 2 trillion of those bonds needs to be brought in 2025 to fund the 2025 budget).

So in other words, more money printing, which will spur many countries to avoid trading in dollar even more, and reduce the fxrate of the dollar (to for example Yuan, already, the dollar is losing against the Yuan now).

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It is official… they have turned the country into a Supa Powa…

littleicebook2 said:

Whats everyones opinion about $BABA and other cn stocks

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I stopped trading China stocks about 7 years ago, and I stopped following BABA after the Bund Forum fiasco.

So my "opinion" here:

The joint press conference of PBOC, CBIRC and CSRC the other day was a turning point in China financial markets in general and its stock markets in particular. It was actually a result of long-anticipated reforms. The timing is interesting and it signaled to me that finally those financial cadres in the central government start 说人话做人事.

In the short term, this is triggering excitement and volatility in Shanghai and Shenzhen stock exchanges. Chinese love speculation so we should expect volatility with Chinese characteristics.

In the long run, I want to believe that this is the beginning of professional regulation in China financial markets which will become more investable for institutional investors as well as retail investors.

On BABA, they miss-fired during Ma-Zhang transition. I am afraid they missed their golden opportunities. I traded BABA a few times right after its IPO in NYSE. I am not going to touch it at this juncture.

Looks like AMD wants to break out ... one of the best proxies to NVDA for AI play ...

I bought on the INTC dip. It has went up a bit.