Financial june 17 news, investors are worried that the Fed's aggressive tightening policy will lead to the United States recession, while JPMorgan Chase believes that the stock market shows that the probability of a recession in the United States is as high as 85%, Thursday's sell-off wave once again swept the market U.S. stocks across the board to close down, the Dow fell more than 700 points, since January 2021 for the first time to break 3000 points on the verge of a bear market, nasdaq closed down 4.08%, S&P 500 index closed down 3.24% are deep in the bear market area. Big tech stocks, bank stocks, airline stocks fell, Apple fell 3.97%, Amazon fell 3.72%, Netflix fell 3.75%, Google fell 3.4%, Facebook fell 5.01%, American Airlines fell 8.64%, Delta Air Lines fell 7.42%, Southwest Airlines fell 6.12%, United Airlines fell 8.21%.
As of the close, the Dow Jones fell 739.22 points, or 2.41%, to 29,929.31 points; the S&P 500 fell 122.75 points, or 3.24%, to 3,667.99 points; and the Nasdaq Composite fell 453.06 points, or 4.08%, to 10,646.10 points. The Dow Jones and S&P 500 hit their lowest closing prices since December 2020; The Nasdaq closed at its lowest point since September 2020.
Gold futures for August delivery on the New York Mercantile Exchange rose $30.3, or 1.67 percent, to close at $1,849.90 an ounce. Silver rose 46 cents in July, up 2.2 percent to close at $21.885 an ounce. The price of platinum rose $26.50 or 2.9% to $951.10 an ounce in July. Palladium rose $32.20, or 1.8 percent, to $1,866.50 an ounce in September. Copper closed at $4.108 a pound in July, down 6 cents or 1.3 percent.
New York Mercantile Exchange West Texas Intermediate Crude July futures rose $2.27 to close at $117.58 a barrel, up 2 percent and rebounding from Wednesday's 3 percent drop. Intercontinental Exchange European Futures Exchange August Brent crude futures rose $1.30, or 1.1 percent, to $119.81 a barrel. Brent crude and West Texas Intermediate both closed near their lowest levels in two weeks on Wednesday, under the near-month contract. Gasoline futures on the New York Mercantile Exchange rose 1.6 percent to $3.9554 a gallon in July, and heating oil rose nearly 0.6 percent to $4.5719 a gallon in July. Natural gas rose 0.6 per cent in July to $7,464 per million BRITISH heat units.
Popular Chinese stocks closed down on Thursday, with the NASDAQ China Golden Dragon closing down 4.44 percent. Wuxin Technology rose more than 10%, Gaotu rose nearly 7%, Leju rose 6%, Siku and Yixian e-commerce rose more than 2%, and Tiger Securities rose nearly 2%. Qudian fell more than 14%, Tuanche fell more than 12%, Huya, Onion Group, Ninth City fell more than 10%, Daily Excellent Fresh fell more than 9%, BOSS Direct Hire fell more than 8%, Waterdrop Company fell nearly 8%, NetEase, Yunmi Technology, Lychee fell more than 7%, Dada Group, Together Education fell nearly 7%, Douyu, Alibaba, New Oxygen fell more than 6%, New Oriental fell nearly 6%, Baidu, Ctrip, Xunlei, Huanju Group, Autohome, Xiaoniu Electric fell more than 5%. Ideal Auto, Dingdong Buy Vegetables fell nearly 5%, Weilai Automobile, iQiyi, Bilibili, Vipshop, Cheetah Mobile, Mushroom Street, Shell fell more than 4%, JD.com, 36Kr, Sohu, Weimei Hologram, Tuniu fell more than 3%, Ideal Automobile, Pinduoduo, Zhihu, Tencent Music, Qutoutiao, Uxin, Happy Auto fell more than 2%, Yunji, Mingchuang Premium, Zhongtong fell nearly 2%, Lujin Holdings, Luckin Powder Single, Phoenix New Media, and All Things New Life fell more than 1%.
JPMorgan Chase: Stock markets reflect an 85% probability of a U.S. recession
JPMorgan strategists said stocks reflect an 85 percent probability of a U.S. recession, and fears of policy missteps and subsequent policy reversals have intensified. Strategists led by Nikolaos Panigirtzoglou report that based on historical performance during the past 11 recessions, the probability of a recession hinted at by European stock markets is 80 percent.
JPMorgan said, "The interest rate market is currently challenging central banks to question the extent to which they can tighten policy without the need to reverse policy subsequently." "The Fed is particularly challenging," the report said, as the U.S. interest rate market suggests that a federal funds rate above 3 percent may not be sustainable.
Lagarde told eurozone finance ministers that the ECB plans to impose restrictions on bond spreads
Ecbbank President Christine Lagarde told euro zone finance ministers that if borrowing costs in the weaker countries of the euro zone grow too much or too fast, then the central bank's new anti-crisis tools will be activated, according to people familiar with the discussion.
People familiar with the matter, who asked for anonymity because the discussions were not made public, explained to finance ministers at a meeting in Luxembourg on Thursday that as the ECB embarks on its first interest rate hike in more than 10 years, new mechanisms that central bankers are working on are designed to prevent irrational market volatility from putting pressure on individual eurozone countries. She said it is possible to launch the tool if bond spreads exceed a certain threshold, or if market volatility exceeds a certain rate. Lagarde did not say whether the restrictions would be made public.
An ECB official said the central bank must address fragmentation to ensure that monetary policy is effectively transmitted across the eurozone, while investors should not doubt the determination of policymakers to fulfill their mission of maintaining price stability.
U.S. mortgage rates surged to 5.78 percent for their biggest weekly gain since 1987
U.S. mortgage rates rose their biggest in more than three decades, putting more pressure on potential homebuyers and cooling the housing market as a result. In the report, Freddie Mac said the average interest rate on 30-year mortgages jumped to 5.78% from 5.23% last week, the largest weekly increase since 1987.
"The rise in mortgage rates is the result of inflation expectations and a shift in monetary policy," said Sam Khater, chief economist at Freddie Mac. "Rising mortgage rates will lead to a slowdown in the housing market and eventually to a more balanced state." The latest mortgage rate data is the highest level since 2008, almost double the 2.93% in the same period last year.
Bank of England's policy action has been criticized by many analysts, and the market believes it needs to raise interest rates to 3% this year.
According to the bets made by financial markets, the Bank of England will need to implement a series of sharp interest rate hikes to raise the cost of borrowing to 3% by the end of the year, and the market believes that policymakers have lost control of inflation. The Bank of England raised rates by 25 basis points on Thursday, a third of the Fed's overnight rate hike. Bank of England policymakers have also hinted that "strong" action will be taken in the future if necessary.
Within minutes of the decision, investors were betting that the Bank of England would have to take more aggressive measures to curb inflation. So far, Governor Bailey has acted cautiously, highlighting the risk of a recession. Now, he may have to keep up with the rapid pace of U.S. action.
"It seems a bit ridiculous that they're committed to strong action when necessary," said Charles Hepworth, director of GAM Investments. "It's necessary now. Central banks know the economy is slowing, so they can't act as strongly as they claim. "Current pricing suggests that central banks will need to raise interest rates by 1.75 percentage points from the current 1.25 percent at the next four meetings.
The Russian deputy prime minister did not rule out oil prices reaching $150 / barrel or even higher at the end of the year
Russian Deputy Prime Minister Novak said he did not rule out the possibility that oil prices would reach $150 a barrel or even higher by the end of the year. He said it would depend on logistics, especially in Europe, because there were also some problems there.
Russia expects its crude oil and natural gas production to reach about 500 million tons in 2022. Novak said earlier in a panel discussion that OPEC+ would decide on a new deal by the end of 2022.
Musk: Only good people are equipped with remote or home work
On Thursday, local time, Musk had an exchange dialogue with Twitter employees, and at the employee meeting Musk said that any layoffs will be considered according to performance criteria, only "good contributors" should be allowed to work remotely or from home, Twitter's top priority is to increase revenue and improve products, and Musk did not say whether he is committed to acquiring Twitter. Musk outlined a vision for Twitter to have 1 billion users and proposed options such as a subscription model and paid user-verified accounts. Musk also said that advertising is still important for Twitter's business model, but both advertising and subscription options have made him more worried about bots.
Twitter employees are most concerned about Musk's perception of remote work. Musk says that only "good contributors" should be allowed to work remotely or from home, and too many people are obsessed with the idea of working remotely. As a private company, Twitter's compensation structure is similar to SpaceX's, with stock and option rewards and liquidity windows every six months, he said.
Musk said any layoffs would be considered based on performance criteria. The top priority, he said, is to earn revenue above cost and improve the product. Musk said he wouldn't care if the deal succeeded, he wouldn't care if he could take on the CEO role.
Oriental selection of fans a week more than 10 million some brands said that the companies they want to cooperate with have been lined up until September and October
The stock price of New Oriental Online and the number of fans in the Oriental Selection Live Broadcast Room are growing at a faster than expected rate. On June 16, the Hong Kong stock market closed, New Oriental Online stock price of 28.6 Hong Kong dollars rose 72.7%, since June, the company with the help of live broadcast room heat, up to nearly 700%, directly erased all the declines since 2021, Hong Kong stock trading platform even has users to share the performance chart of more than 500% of the income.
In addition, in the Live Screening Room on Thursday night, the number of fans reached 10 million a week earlier than the broker's prediction. According to cicada mother data, the total number of fans in the oriental selection live broadcast room reached 10.608 million, and it continues to grow, and the number of fans is characterized as "head master". Previously, CITIC Construction Investment Securities believed that if the growth of fans increased at a rate of 700,000-800,000 people per day, and the decline rate was not high, the number of fans selected by The East in the next two weeks is expected to reach 10 million. Judging from the results, the popularity of the Oriental Selection Live Broadcast far exceeds the expectations of the outside world.
NIO Li Bin: NIO Volkswagen brand production capacity planning 500,000 units, priced 10% lower than Model 3/Y
Li Bin, chairman of NIO, said today that NIO has signed a second-phase agreement with Hefei for the Xinqiao plant, preparing for an annual production capacity of 500,000 Volkswagen brand models priced at 200,000 yuan. Li Bin also revealed that the Weilai Volkswagen brand will provide a replacement version of the model, benchmarking Tesla Model 3/Y, but the price is 10% cheaper.
Ebang International intends to apply for a Hong Kong Money Services Operator Licence
Ebang International (EBON.US) intends to apply for a money services operator licence from the Customs and Excise Department of Hong Kong. If licensed, the Company will be allowed to operate currency exchange services and/or remittance services in Hong Kong.
Following the successful acquisition of Compass Global Holdings, Ebang International intends to further develop its global collections and payments business, which has led the company to obtain an Australian financial services license issued by ASIC.
Mr. Dong Hu, Chairman of the Board, CEO and CFO of Ebang International, said that if the company can obtain the foreign exchange regulatory agency license as planned, it is expected to be able to enter the Hong Kong foreign exchange market as a participant. Every transaction of Ebang International will be regulated by the HONG KONG SAR Government and ensure that there is a mature regulatory framework as a blueprint for compliant transactions.
This article originated from the financial world