US stocks closed mixed on Monday, with Tesla driving Nasdaq gains, while the Dow fell for the third consecutive session. Investors focused on key earnings reports, including Nvidia, and the potential announcement of the next US Treasury Secretary.
Despite last week’s pullback following the US election, renowned Morgan Stanley strategist Michael Wilson turned optimistic, projecting the S&P 500 to hit 6,500 by late 2025, citing improving economic growth and further Fed rate cuts.
Meanwhile, Nomura Securities became the first global brokerage to predict that the Fed may pause its rate-cutting cycle in December, expecting only two additional 25-basis-point rate cuts in March and June 2025.
Tesla closed up nearly 6%, briefly gaining 8% intraday, lifting Nasdaq by as much as 1%. Reports suggest that President-elect Trump’s administration plans to prioritize a federal framework for fully autonomous vehicles under the Department of Transportation.
“AI stock” AMD (Advanced Micro Devices) soared nearly 40% in after-hours trading, rebounding from previous losses. AMD announced the appointment of BDO as its independent auditor and submitted plans to Nasdaq to comply with listing requirements.
Meanwhile, OpenAI CEO Sam Altman’s backed Oklo surged over 14%, leading nuclear energy stocks. Trump reportedly chose Chris Wright, an Oklo board member and CEO of Liberty Energy, as the Energy Secretary nominee.
US Stocks
Fundamental Analysis:
- Tech Sector: Tesla rose over 5%, while Intel and Netflix gained 2%+. Alphabet (Google) and Apple were up 1%+, with Meta and Microsoft seeing slight gains. Nvidia fell more than 1%, and Amazon edged lower.
- Commodities & Energy: Gold and energy stocks rallied—US Gold jumped 10%, Harmony Gold rose 7%, and Pan American Silver, Coeur Mining, and Plug Power each gained over 6%.
- Trump-Linked Stocks: Trump Media & Technology Group rose 16%, while Bakkt Holdings surged 162% following reports of a potential acquisition by Trump’s social media company.
The Nasdaq Golden Dragon China Index gained 1.71%, with most popular Chinese stocks closing higher.
Bilibili climbed over 4%, NIO nearly 4%, and Miniso and XPeng gained 2%+. iQIYI dropped 2%, and Lufax fell over 1%.
Technical Analysis:
Market Trends:
- Dow Jones: -55.39 points (-0.13%) to 43,389.60
- Nasdaq: +111.69 points (+0.60%) to 18,791.81
- S&P 500: +23.00 points (+0.39%) to 5,893.62
Hong Kong Stock Market
Fundamental Analysis:
Hong Kong indices rebounded after earlier declines, with tech and energy stocks showing strength:
- Tech Stocks: Baidu and Kuaishou gained over 2%, while Xiaomi fell over 3% after earnings.
- Gold Stocks: China Gold International surged 9% following bullish Goldman Sachs projections of record-high gold prices, forecasting $3,000/oz by late 2025.
- Automotive & Travel: NIO rose more than 3%, and Trip.com gained over 5%.
Technical Analysis:
Technical Analysis:
- Hang Seng Index: +0.33% to 19,640.74
- Hang Seng Tech Index: +0.86% to 4,378.84
- China Enterprises Index: +0.23% to 7,073.40
FTSE China A50 Index
Fundamental Analysis:
Mainland China’s A-share indices posted mixed results by midday, with robotics, solar energy, and advanced packaging leading gains, while real estate and AI applications lagged.
- Gainers: Robotics stocks rallied with companies like Keda Intelligence, Dongfang Precision, and Asdome hitting their daily limits. Solar energy stocks rebounded, with Broad Materials and Oujiang Technology closing at limit-up levels.
- Losers: Real estate struggled—Seazen Holdings fell to its daily limit, and Rongsheng Development slid over 5%. AI-related stocks like 360 Security and Zhongke Jin accounted for notable declines.
Technical Analysis:
Market Trends:
- Shanghai Composite Index: -0.39% to 3,311.01
- Shenzhen Component Index: -0.01% to 10,543.01
- ChiNext Index: +0.23% to 2,196.08
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