Global market: Powell once again mentioned “unconditionally” firmly curbing inflation, Intel pressured the US Congress
Financial Associated Press June 24 (Editor Shi Zhengcheng) In the U.S. stock market overnight, while fears of a potential recession weakened some economically sensitive sectors, strength in defensive sectors and technology stocks still dragged the major stock indexes up.
In Powell’s second-straight hearing, the Fed chairman went out of his way to underscore his “unconditional” commitment to curbing inflation and made it clear that it would be difficult to change the stance of monetary policy until firm data showed inflation weakening. In addition to Powell, more Fed officials have expressed support for a 75-basis-point interest rate hike in July, followed by a 50-basis-point rate hike at each FOMC meeting until inflation falls.
James Ragan, director of research at DA Davidson Wealth Management, said the Fed wants to see economic activity slow, and the latest business activity data shows that. Whether the slowdown is deep enough to slip into a recession remains a question.
As Powell intensified his tightening stance, a stronger U.S. dollar pushed gold weaker, and losses in crude oil and industrial metals had more to do with recession fears. European gas futures rose further on market news that Russian gas company Gazprom will conduct annual maintenance on the Nord Stream 1 gas pipeline, a move that will disrupt supply through the pipeline.
In addition, the recent sharp rise in the price difference between LME zinc spot and three-month futures has also aroused concern. It once reached US$199.85/ton on Thursday. The main reason behind it is the rapid decline in LME inventories caused by the reduction of production capacity by European and American refineries due to soaring energy prices. , fell more than 50% to 26,000 tons in a single week. However, unlike the LME, the zinc inventory in the last period has doubled this year to 159,000 tons, so some brokers have revealed that there are already stocks sent from the Chinese onshore market to the LME warehouse.
According to the latest data released by the International Lead and Zinc Study Group (ILZSG) on Thursday, the global zinc market supply exceeded demand by 10,900 tons in April this year.
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[Powell Hearing: Reintroduce “unconditional” firm suppression of inflation]
On Thursday, local time, Federal Reserve Chairman Powell went to the House of Representatives to provide testimony to the Financial Services Committee. The lack of the word “unconditional” in Powell’s words pledging to rein in inflation may suggest the Fed is not as hawkish as feared by multiple media reports. Powell, who has always been closely following the media, quickly made up for it on Thursday, emphasizing “the Fed’s unconditional commitment to fighting inflation.” Detailed report>>
[Intel says congressional delays could shrink Ohio factory plan]
In a statement sent to the media on Thursday, Intel made it clear: “Unfortunately, the CHIPS chip bill in Congress is moving slowly, and companies don’t know when it will come to fruition. Now is the time for Congress to act so Intel to move forward at the speed and scale long envisioned for Ohio and other projects.”
According to local media reports, the groundbreaking ceremony for Intel’s Ohio factory was originally scheduled for July 22, but the company informed the office of Ohio Governor Mike DeWine and members of the Ohio congressional delegation on Wednesday that the groundbreaking would be delayed. Detailed report>>
[FDA announces ban on sale of Juul e-cigarettes]
The U.S. Food and Drug Administration announced on Thursday that it will ban the sale or distribution of Juul e-cigarettes in the U.S. market, saying the regulator said there was “a lack of sufficient evidence” that the sale of the product would be appropriate for public health. Joe Murillo, CEO of Juul, responded that he did not agree with the FDA’s judgment and would exhaust regulatory and related legal options to seek ways to remain in the U.S. market.
[US appeals court rejects $2.7 billion in infringement damages against Cisco]
On Thursday, local time, the U.S. federal appeals court ruled to revoke the lower court’s compensation for Centripetal’s patent infringement case against Cisco, because the judge in the case, Morgan, did not take recusal measures on the premise of knowing that his wife held Cisco stock. . At the time, Morgan ordered Cisco to pay Centripetal $1.9 billion in infringement damages, plus patent licensing fees, bringing the overall damages to more than $2.7 billion.
[Netflix lays off another 300 employees]
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[U.S. Energy Secretary meets with executives of seven major oil companies]
According to an announcement released by the U.S. Department of Energy on Thursday, Energy Secretary Granholm held an offline meeting with the CEOs and executives of seven major U.S. oil companies on Thursday, and reminded these companies that they must come up with solutions to ensure safety and public burden. Affordable fuel supply.
Coincidentally, according to local media reports, the fourth-largest U.S. oil refiner Phillips 66 (Phillips 66) Wilmington refinery reported an unexpected fire on June 23.