On Wednesday, Eastern time, after the release of the Fed's June minutes, the three major stock indexes collectively closed lower. The Fed minutes showed that all participants continued to expect a moderate monetary policy stance that was restrictive to the economy in order to meet the Fed's inflation target.
Market dynamics
By the close, the Dow was down 129.83 points, or 0.38%, at 34,288.64; The Nasdaq lost 25.12 points, or 0.18%, to 13,791.65; The S&P 500 fell 8.77 points, or 0.20%, to 4,446.82.
Popular stock performance
Big tech stocks mostly rose, with Apple (AAPL. US) fell 0.59%, Microsoft (MSFT.US) rose 0.05%, Tesla (TSLA. US) rose 0.95%, Amazon (AMZN.US) rose 0.12%, Meta (META.US) rose 2.92%, Google (GOOG.US) rose 1.54%, Netflix (NFLX.US) rose 1.01%, and Nvidia (NVDA. US) fell 0.23%.
Popular Chinese concept stocks were mixed, with the Nasdaq China Golden Dragon Index down 0.61% and WIMI Hologram (WIMI. US) led the gains of more than 8.0%, while Alibaba (BABA. US) rose 0.27% and JD.com (JD. US) rose 0.14%, Pinduoduo (PDD. US) rose 0.77%, NIO (NIO.US) rose 1.89%, Xpeng Motors (XPEV.US) rose 5.87%, Li Auto (LI.US) fell 1.52%, Bilibili (BILI.US) fell 2.99%, Baidu (BIDU.US) fell 0.99%, NetEase (NTES. US) fell 1.19%, Tencent Music (TME. US) fell 3.46% and iQiyi (IQ.US) rose 2.04%.
【Individual Stock News】
【World Artificial Intelligence Conference opened, AI star stock WIMI Hologram. US) up more than 8%]
The AI wind set off by ChatGPT is undoubtedly the hot topic of the year in the tech world, and perhaps the hot topic of the decade, because every company is rushing to implement an AI strategy, just as it was in the early days of the internet. On July 6, the 2023 World Artificial Intelligence Conference kicked off. The theme of this conference is "Intelligent Connected World, Building the Future".
The artificial intelligence boom has triggered a surge in some technology stocks, among which star stock WIMI Hologram (WIMI.US) closed up more than 8%. Its AI+ business applications are "in full bloom", so Wall Street analysts and investors are still optimistic that WIMI Hologram's stock price can continue to get a boost from this AI wave.
According to the data, through years of technology research and development, WIMI Hologram has gained something in the field of AI artificial intelligence, and has integrated holographic AI cloud software developers and business dealers, and constantly increased AI face recognition, AI vision algorithms, etc. to meet the increasing surge demand for AI. It is reported that at present, WIMI Hologram has used AI technology in its advertising business to generate prompts and produce more complex advertising content, and the effect can be comparable to professional content produced by the industry.
For now, in this round of artificial intelligence and AI explosion, the scope, depth and breadth of this revolution may only be comparable to the outbreak of the Internet. This means that for WIMI Hologram ushered in a huge historical opportunity, the layout of AI-related industrial chain has greater room for improvement. WIMI Hologram also pays close attention to the field of AI computing power and algorithms, in AI supercomputing scenarios, the certainty of high-rate, large-low latency connections is strengthened, which can be applied to finance, education, automotive and other industries, and the injection of WIMI Hologram's AI capabilities will directly promote various industries to achieve the effect of reducing costs and increasing efficiency.
Apple (AAPL. US) slashes head-mounted VisionPro production target]
After 7 years of research and development, Apple (AAPL. US) Vision Pro was released last month and hailed as the most significant product launch since the iPhone. Currently, the Vision Pro starts at $3499 and is a Meta (META. US) series of headsets more than three times the price.
However, it is reported that Apple has been forced to sharply reduce the production forecast for the Vision Pro, an augmented reality headset launched last month. People familiar with the matter said that Apple intends to produce less than 400,000 Vision Pros in 2024. Analysts believe this has more to do with supply chain issues than giving developers time to develop applications for Vision Pro.
Tesla (TSLA. US) China-made car sales in June reached 93,680 units, a year-on-year increase of 18.72%】
According to data released by the China Passenger Association on Tuesday, Tesla (TSLA. US) sold 93,680 vehicles in China in June, up 18.72% from 78,906 units in the same period last year and up 20.57% month-on-month. In contrast, BYD's passenger car sales in June increased by 88.16% year-on-year to 251685 units.
【Moderna(MRNA. US) confirmed the signing of a memorandum of understanding on investment in China]
U.S. vaccine manufacturer Moderna (MRNA. US) confirmed Wednesday that it has signed a memorandum of understanding and a land cooperation agreement dedicated to providing opportunities for its research, development and production of mRNA drugs in China. According to people familiar with the matter, Moderna will have a number of projects landing in China, and the total investment scale is expected to reach 1 billion US dollars.
[Affected by the fall in natural gas prices, ExxonMobil (XOM. US) issued a profit warning]
ExxonMobil (XOM. US) said that the company's upstream business profit will fall by $2 billion due to the impact of falling natural gas prices; A pullback in refining margins would result in a $2.1 billion reduction in profits. However, the company also expects the chemical business to generate a $300 million profit increase in the second quarter and unsettled derivatives to bring a $600 million profit increase in the second quarter.
【Meta(META. US) launches social app Threads
Meta Platforms(META. US), Inc., officially launched Threads, an app designed to compete directly with Twitter, posing the most serious threat to today's struggling Twitter to date. Threads allows people to post text and links, reply to or retweet other people's messages. The app will allow users to port existing follower lists and account names from Instagram. Instagram has more than 2 billion users, including big brands, celebrities, and creators.
Thanks to Instagram's existing infrastructure, Threads will adopt all of these mature company systems. The app will have the same content rules as Instagram, as well as the same controls for muting and blocking harassing accounts. Public figures with verified accounts on Instagram can keep their blue badge on Threads.
[XPEV. US) G6 launched, orders have exceeded 35,000 units]
XPEV. US) G6 is officially launched and deliveries will begin in July. He Xiaopeng, chairman of Xpeng Motors, said that as the first strategic model under the Fushake architecture, the G6 is to Xpeng what the iPhone 4 is to Apple, representing Xpeng's thinking on the next generation of intelligent electric vehicles.
【Individual Stock Rating】
[Goldman Sachs: On Universal Music (UNVGY. US) gives it a "buy" rating, optimistic about its competitive advantage in the music market]
Goldman Sachs said that as the decade evolves, the music industry will once again undergo significant structural changes, which will require a "coordinated and cooperative response" by key players to maintain sustainable growth and seize new opportunities. Goldman Sachs recommends "buying" Universal Music Group (UNVGY. US), the company is also on its list of recommended European stocks, noting that the company has several competitive advantages.
Piper Sandler: There is still regulatory uncertainty, downgrading Coinbase (COIN. US) rated to "neutral"]
Investment bank Piper Sandler released a research report on Coinbase Global (COIN. US) downgraded its stock rating to "neutral" from "overweight," which the bank said was due to the company's sharp gains so far this year and "too much uncertainty" stemming in part from legal hurdles on cryptocurrency exchanges.
Analyst Patrick Moley said, "The recent SEC case and the continued lack of regulatory transparency in the U.S. create too much uncertainty to prudently predict revenue in the coming years." ”