Investing.com – This week, Wall Street will usher in the Christmas week, which is also the last completed trading week in December. It should be noted that, according to historical market conditions, December is the month most prone to rise in a year, commonly known as the “Santa Claus market”. Data show that in the past 75% of the time, the average return rate of the SPX index in December can be reached 1.36% (median 1.50%).
However, U.S. stocks posted their third straight weekly retreat last week. Sunil Krishnan, multi-asset fund manager at Aviva Investors, said that the central bank’s insistence on raising interest rates has a negative impact on the market.
This week, the market ushered in the Bank of Japan’s interest rate decision. Bank of Japan Governor Haruhiko Kuroda will hold a monetary policy press conference. Bank of Japan Governor Haruhiko Kuroda is expected to reiterate the need to maintain monetary stimulus to ensure sustained inflation. In addition, the Reserve Bank of Australia will release the minutes of its monetary policy meeting.
On the economic data front, it will be Friday’s release of the U.S. personal expenditures price index (PCE) for November. The Fed regards the index as an indicator of inflation, which is more important than the consumer price index. The market expects that the PCE data, in line with other major inflation data, will show a slowing growth momentum. In addition, the US consumer sentiment index released on Wednesday, the market expects that the data will rise from the previous month. At the same time, new home sales and existing home sales data in November are also interesting data.
European and American stock markets
On Friday, concerns about an economic recession dragged down the performance of European and American stock markets. Because the European and American central banks raised interest rates simultaneously by 0.5% last week, investors are worried about the economic downturn. Experts believe that the probability of recession in the United States is 60%, and that in Europe is 80%.
In terms of national debt, it was reported at 3.513 percent; at 4.2035 percent; at 3.7718 percent.
Last Friday coincided with the “Quadruple witching day” (Quadruple witching day), that is, the futures and options settlement day of the index and individual stocks. About US$4 trillion worth of contract assets expired. According to past experience, the market conditions on this day are generally more volatile .
As of the close, the market closed down 281 points or 0.85% to 32,920 points; it fell 1.11% to 3,852 points; the market closed down 281 points or 0.85% to 32,920 points; for the whole week, the Dow fell 1.7%; the index fell 2.08% , for the second consecutive week of decline; the Nasdaq fell 2.7%. In terms of futures, (NQZ2) is currently up 0.2%.
Among the heavyweight stocks, Meta Platforms Inc (NASDAQ: ) once bucked the trend and soared 5.84%, but the closing price slowed down to 2.82%, mainly because JPMorgan Chase upgraded its investment rating from “neutral” to “overweight”. Think the company is focusing more on cost discipline and improving revenue outlook.
In addition, JPMorgan cut its target price from US$145 to US$130. The reason is that the macroeconomic challenges will lead to a slowdown in cloud business revenue and a decline in marginal profits. Amazon’s stock price has repeatedly retreated 0.67%.
The luxury brand Lanvin was listed on the first day after its merger with the SPAC on Thursday, and its stock price was extremely volatile. Software company Adobe (NASDAQ: ) beat expectations for fourth-quarter earnings, and its stock price jumped 2.99%.
In addition, the news website Semafor reported that Goldman Sachs Group (NYSE: ) plans to cut up to 4,000 jobs, equivalent to 8% of the workforce, Goldman Sachs shares fell 0.99%, American Express fell 2.61%, the largest decline in the Dow component stocks.
According to the data released by American employment consulting companies Challenger, Gray & Christmas on December 1, American companies announced a total of 76,835 layoffs in November this year, a year-on-year increase of 417%. Among them, the technology industry announced layoffs of 52,771 people, setting a record since the company began to collect relevant data in 2000.
In terms of European stocks, last Friday, the market closed down 1.2% to 424 points, which was the third consecutive day of decline; it closed at 13893 points, 0.67% or 93 points back; it closed at 6452 points, a decrease of 1.08% or 70 points; it closed at 7332 points , retreating 1.27 percent or 94 points.
In addition, the French industrial giant Schneider ( ) fell 1.48% to 130.82 euros.
asian stock market
In terms of A-shares, the market closed at 3167 points all day on Friday, a drop of less than 1 point or 0.02%, with a turnover of 307.228 billion yuan. In summary, the stock index fell by 1.22% for the whole week, ending its six-week winning streak. On Friday, it closed at 11295 points, down 63 points or 0.56%, with a turnover of 454.187 billion yuan; on Friday it closed at 2373 points, down 25 points or 1.06%.
It should also be noted that it is currently up 0.91%; it is currently reported at 2.894%.
Hong Kong stocks closed at 19,450 points on Friday, up 82 points or 0.42%, and closed at 19,450 points, up 82 points or 0.42%. They fell 450 points or 2.3% throughout the week, ending the two-week winning streak before. It fell 450 points or 2.3% for the whole week, and ended the two-week winning streak; closed at 4149, up 12 points or 0.3%, and fell 220 points or 5% for the whole week. Still need to pay attention, closing at 19,360 points, down 25 points, 91 points lower than the closing price of the Hang Seng Index on Friday, with 16,676 contracts traded.
Other Asian stocks closed at 27,527 points, down 524 points or 1.87%. Japanese stocks fell 1.34% this week; closed at 2360 points, down less than 1 point or 0.04%; closed at 7336 points, down 53 points or 0.73%;
commodity market
In terms of crude oil, last week, the market worried about the global central bank’s interest rate hikes leading to an economic recession. International oil prices retreated on Friday. However, the cumulative increase for the whole week was still recorded. It closed at $74.29 on Friday, down $1.82 or 2.39%, and rose 4% for the week; it closed at $79.04, down $2.17 or 2.47%, and rose 4% for the week.
It fell 6.07 percent to $6.210.
In the gold market, the market digested the news that the central banks of many countries raised interest rates and maintained the pace of interest rate hikes. The international gold price rebounded and surpassed the US$1,800 mark. It hit a high of $1,804.2 on Friday and closed up $12.4, or 0.7%, at $1,800.2 an ounce. It rose 0.9 percent to close at $1,793.
Foreign exchange market
In the foreign exchange market, on Friday, it rose 0.2% to 104.69. It should be noted that the index has soared about 9% this year as the Fed raised interest rates and absorbed funds back into dollar-denominated bonds. However, the dollar index has fallen about 8 percent since hitting a 20-year high in September, as U.S. inflation slowed, leading investors to expect the Fed to slow its pace of rate hikes.
To note, it fell 0.3% to $1.0597. That came as the European Central Bank raised interest rates and signaled the hike was far from over, stoking fears of a potential global recession and sending investors into the safe-haven dollar. It slipped 0.1 percent to $1.2165.
On the other hand, investors will pay attention this week. The Bank of Japan will release the latest interest rate decision on Tuesday. Although the global central banks have remained hawkish in the past week, the market expects the Bank of Japan to maintain its accommodative monetary policy. The 10-year bond yield is capped at 0.25%. That said, the Bank of Japan is widely expected to continue its negative interest rate policy in the coming week, unlike other major central banks around the world. In Tuesday’s decision, Bank of Japan Governor Haruhiko Kuroda is expected to reiterate his stance that monetary stimulus must be maintained to ensure sustained inflation.
As of press time, Investing.com’s market data shows that the latest price is 6.9803 yuan, up 0.06% on the daily line; the latest price is 6.9713 yuan, down 0.00% on the daily line.
In the end, it fell 4.3% at one point, falling above $16,700. Cryptocurrency exchange Binance (Binance) revealed that the French accounting firm Mazars Group has suspended the auditing services for all cryptocurrency customers around the world, including Binance. Market confidence further suffered.
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(Editor: Li Shanwen)