Overnight stock market
On Tuesday Eastern Time, the three major US stock indexes closed with mixed gains and losses. The Nasdaq rose 0.20%, the S&P 500 index rose 0.03%, hitting a historic high during trading, and the Dow Jones Industrial Average fell 0.04%, also hitting a historic high during trading. The market is currently waiting for the Federal Reserve's interest rate decision.
Popular Chinese concept stocks rose, with the Nasdaq China Golden Dragon Index up 1.83%. Ideal Auto has risen by over 12%, Futu Holdings and iQiyi have risen by over 4%, Bilibili has risen by over 3%, and Weibo, Manbang, and JD.com have risen by over 2%.
The main European stock indices closed generally higher, with the European Stoxx 50 index up 0.69%, the German DAX 30 index up 0.5%, the French CAC 40 index up 0.51%, and the FTSE 100 index up 0.38%.
Commodity Market
COMEX gold futures fell 0.47% to $2596.80 per ounce; COMEX silver futures fell 0.29% to $31.045 per ounce.
The settlement price of WTI crude oil futures rose by $1.10, or 1.57%, to $71.19 per barrel. The settlement price of Brent crude oil futures rose by $0.95, or 1.31%, to $73.70 per barrel.
Bitcoin hit its largest mid market gain in over a month on Tuesday, as the prospect of a Federal Reserve rate cut is expected to boost demand for speculative assets. Bitcoin once rose 6.4% to $61337, marking its largest intraday increase since August 8th. Small cryptocurrencies such as Ethereum, Dogecoin, and Solana also rose.
Market News
BlackRock and Microsoft plan to raise $30 billion for AI investment, with Nvidia providing support
BlackRock and Microsoft are partnering to invest in data centers and other infrastructure supporting artificial intelligence. The two companies stated in a statement that the strategy, called the Global AI Infrastructure Investment Partnership, aims to attract $30 billion in private equity investment and use the funds for up to $100 billion in investments. The statement indicates that infrastructure investment, including energy projects, will primarily be in the United States, with some funds deployed in partner countries of the United States. Mobilizing private capital to build artificial intelligence infrastructure such as data centers and energy projects will unlock trillions of dollars in long-term investment opportunities, "said Larry Fink, CEO of BlackRock, in a statement. These companies also collaborate with Global Infrastructure Partners and MGX in Abu Dhabi, which was established this year specifically for investing in artificial intelligence. Nvidia will leverage its expertise in artificial intelligence data centers and factories to support the alliance. This chip manufacturer has invested heavily in developing software, networks, and other technologies.
Potential successor to the Federal Reserve Chairman, Waller, does not welcome the idea of Trump intervening in the Fed's independence
Former US President Trump hopes that the White House will have a say in interest rates, but a Federal Reserve board member who is considered a potential successor to Powell is quite skeptical of this idea. Earlier in September, Waller was asked for his opinion on Trump's views, stating that Congress and financial markets strongly support the Federal Reserve's autonomy in setting interest rates. If the president wants to complain about this, he can do it like everyone else, "Waller said. He has the right to express those damn opinions, but that doesn't mean I have to listen or adjust policies.
Gundlach, the 'New Bond King': The Federal Reserve is expected to cut interest rates by 50 basis points on Wednesday
The number of people betting that the Federal Reserve will initiate a 50 basis point rate cut cycle on Wednesday is growing, and Jeffrey Gundlach, CEO of DoubleLine Capital, has also joined in. He expects the Federal Reserve to lower its benchmark interest rate by 50 basis points on Wednesday and a total of 125 basis points by the end of the year. He stated that he believes the US economy is already in recession and the Federal Reserve's tightening policy has been maintained for too long.
The United States will seek to purchase up to 6 million barrels of oil to replenish its strategic reserves
According to informed sources, the Biden administration will seek to purchase up to 6 million barrels of oil for strategic petroleum reserves. According to reports, the Biden administration will announce a tender as early as Wednesday to purchase oil for transportation to the Bayou Choctaw storage facility in Louisiana.
JPMorgan Chase and Apple in talks to potentially take over the latter's credit card business
JPMorgan Chase is in talks with Apple to replace Goldman Sachs in carrying out Apple's credit card business. According to a source familiar with the matter, JPMorgan Chase is one of the many credit card issuers exploring to replace Goldman Sachs in Apple's credit card business. The collaboration with Goldman Sachs initially began about five years ago, when the Wall Street giant attempted to consolidate its consumer banking business but gradually withdrew. The report states that the transaction may still take several months to reach, and due to key details such as price still being negotiated, there is no guarantee that the transaction will be completed. Apple has also approached several potential successors, including Synchrony Financial and Capital One Financial Corp.