HaiKhuu Weekly Recap & Analysis
July 29 - August 2, 2024
MAJOR EVENTS OF LAST WEEK
Highlights:
The Federal Reserve kept interest rates UNCHANGED at 5.5%
There has been ''some'' further progress to the 2% inflation goal but it remains “somewhat” elevated
“A rate cut could be on the table in September”
The US Unemployment Rate reached 4.3%, its highest level since October 2021
$2.9 Trillion was wiped out from the stock market in Friday’s morning trading session, the worst day since the 2020 COVID crash
Major Indices’ Weekly Movement:
S&P 500: -2.44%
Nasdaq: -3.67%
Dow Jones: -2.43%
Monday, July 29
Stock Related News:
The US National debt has surpassed $35 Trillion; the last time the US was in surplus was 2001
Apple released the first version of Apple Intelligence, its suite of artificial intelligence features that will improve Siri, automatically generate emails and images, and sort notifications
Apple said the AI models underpinning Apple Intelligence were pre-trained on processors designed by Google
Cryptocurrency prices surged after Donald Trump expressed support for Bitcoin and promised friendlier regulation if elected
Nvidia announced it is providing the world's leading robot manufacturers, AI model developers, and software makers with a suite of services, models, and computing platform
OpenAI board member Adam D'Angel said that general artificial intelligence is likely to occur "within 5 to 15 years"
Economic News:
Dallas Fed Mfg. Bus. Index -17.5 (Forecast -15.5, Previous -15.10)
Major Indices:
S&P 500: +0.06%
Nasdaq: +0.20%
Dow Jones: -0.11%
Tuesday, July 30
Stock Related News:
Morgan Stanley has named Tesla as its new top pick in the U.S. auto sector, replacing Ford
Meta has agreed to a $1.4 Billion settlement with Texas over biometric data lawsuit
Meta’s Instagram will let users create their own AI-powered chatbots and add them to their profiles
OpenAI rolled out its voice assistant after a delay to address safety issues
Amazon has sued Nokia over alleged patent infringement technology
Delta Airlines is seeking compensation following the CrowdStrike outage
Microsoft Earnings:
EPS of $2.95, beating expectations of $2.94
Revenue of $64.7B, beating expectations of $64.4B
Cloud revenue $36.8B, missing estimate of $36.84B
Economic News:
JOLTs Job Openings 8.184M (Forecast 8M, Previous 8.230M)
CB Consumer Confidence 100.3 (Forecast 99.7, Previous 100.4)
Major Indices:
S&P 500: -0.51%
Nasdaq: -1.37%
Dow Jones: +0.47%
Wednesday, July 31
Stock Related News:
TikTok has been paying Microsoft $20 million/month to buy OpenAI's models since March
Uber and BYD just announced a multi-year strategic partnership designed to bring 100,000 new BYD electric vehicles onto the Uber platform
Netflix is raising $1.8 Billion in a debt offering to refinance debt
Delta Air Lines CEO says CrowdStrike outage to cost carrier $500 Million
Bill Ackman’s Pershing Square USA officially withdraws IPO after only raising $2 billion compared to expectations of $25 billion
Meta Earnings:
EPS of $5.16, beating expectations of $4.78
Revenue of $39.1B, beating expectations of $38.3B
Economic News:
The Federal Reserve kept interest rates UNCHANGED at 5.5%
Fed Chairman Powell’s Statement:
There has been ''some'' further progress to the 2% inflation goal but it remains “somewhat” elevated
The economy continues to expand at solid pace, job gains have moderated, unemployment rate has moved up but remains low
We have made no decisions about future meetings, including September
Major Indices:
S&P 500: +1.63%
Nasdaq: +2.96%
Dow Jones: +0.27%
Thursday, August 1
Stock Related News:
U.S. progressive groups and Democratic Senator Elizabeth Warren pressed the DoJ to investigate Nvidia, over competition concerns
Microsoft is scaling back its AI partnership with Emirati firm due to concerns over China ties
Mark Zuckerberg said that for Meta to train Llama 4 the company will need 10x more compute than what was needed to train Llama 3
Supermicro has launched a plug-and-play supercluster for Nvidia Omniverse
Apple Earnings:
EPS of $1.40, beating estimate of $1.35
Sales of $85.8B, beating estimate of $84.53B
Products revenue $61.56B, beating estimate $60.63b
Economic News:
Jobless Claims:
Initial 249k (Forecast 236k, Previous 235k)
Continued 1.877M (Forecast 1.8545M, Previous 1.851M)
ISM Manufacturing Data:
PMI 46.8 (Forecast 48.8, Previous 48.5)
Employment Index 43.4 (Forecast 49.2, Previous 49.3)
Major Indices:
S&P 500: -1.42%
Nasdaq: -2.42%
Dow Jones: -1.29%
Friday, August 2
Stock Related News:
$2.9 Trillion was wiped out from the stock market in the morning trading session, the worst day since the 2020 covid crash
The Nasdaq 100 is down over 10% from the peak and is now in "correction"
JPMorgan expects the Fed will cut rates by 50 basis points in both September and November
A Google filing showed that it cut its stake in CrowdStrike by 50% before the recent IT outage
Tesla registered an insurance broking firm in China to gain approval to sell insurance products
Economic News:
Employment Data:
Unemployment Rate 4.3% (Previous 4.1%)
Highest rate since October 2021
Labor Force Participation 62.7% (Previous 62.6%)
Average Earnings YoY 3.6% (Forecast 3.7%, Previous 3.9%)
Fed's Goolsbee said that if inflation and the job market continue to cool, the Fed should cut rates
Major Indices:
S&P 500: -1.86%
Nasdaq: -2.37%
Dow Jones: -1.51%
