On May 17, local time, U.S. stocks, Chinese real estate stocks and international precious metals ushered in a rare surge.
Wind data shows that as of the close, international gold futures and spot prices both strengthened, and silver performed more strongly, with futures and spot prices rising more than 6% in a single day and hitting a new high; In terms of real estate stocks, Fang Duoduo rose 300%, and there was a circuit breaker in the intraday, FLJ, Xinyuan Real Estate, Nantai Real Estate and other stocks collectively rose, and Haidilao's Tehai International also rose sharply on the first day of listing.
Judging from the overall performance of U.S. stocks, the three major stock indexes were mixed, with the Dow regaining the 40,000-point mark, large technology stocks rising while chip stocks falling, and retail investors holding together concept stocks Game Station fell nearly 20%. Some institutions suggest that in the short term, it is necessary to be wary of the risk of postponing the expectation of interest rate cuts again, which may bring some disturbance to the valuation of U.S. stocks.
Silver prices soared to an 11-year high
The bulk market performed well last night, and the price of international precious metals, especially silver, rose sharply.
Wind data shows that as of the close of local time on May 17, the COMEX silver futures price rose 6.36% in a single day to $31.775 per ounce, hitting an 11-year high; London silver is now trading at $31.49 an ounce, also hitting an 11-year high, up 6.60% in a single day.
Gold futures and spot prices also strengthened and are approaching record highs. As of the close, COMEX gold futures rose 1.44% to $2419.8 per ounce; London gold is up 1.61% at $2,414.5 an ounce.
Image source: Wind
The rise in the spot price of precious metal futures also led to the strength of U.S. gold stocks. At the close, Cordelon Mining rose 11.76%, Novartis Gold Resources rose 7.03%, Elrado Gold rose 5.85%, Pan American Silver rose 5.29%, and Harmony Gold rose 4.55%.
Geopolitical conflicts have brought about increased risk aversion in the market, coupled with the market's expectation of the Federal Reserve to cut interest rates this year, international gold and silver prices have soared this year, and gold futures and spot prices have increased by more than 16% since the beginning of this year; Silver has performed more strongly, with a cumulative increase of more than 32% since the beginning of this year, far outperforming the performance of major stock indexes in Europe and the United States in the same period.
Looking ahead, can gold and silver prices continue to surge? Debang Securities believes that the current market expectations for the Federal Reserve's interest rate cut have increased, and the price of precious metals may be boosted in the short term, and the continuous increase in global gold reserves may bring price impetus to gold, silver and other precious metals in the long cycle. Precious metal prices have certain catalytic factors in the short, medium and long-term dimensions, and are optimistic about the future price trend of precious metals such as gold and silver.
Chinese real estate stocks soared
From the perspective of U.S. stock performance, Chinese assets, especially Chinese real estate stocks, have strengthened under the impetus of favorable policies.
Wind data shows that as of the close, the Nasdaq China Golden Dragon Index rose 0.38%, and the index hit a new high in more than eight months; In terms of individual stocks, Fang Duoduo's sharp rise at the beginning of the market once triggered a circuit breaker, and since then it has maintained a high level of shock, rising 300% as of the close, hitting a new high in the stage; FLJ surged 223.59%, Xinyuan Real Estate surged nearly 40%, and Nam Tai Real Estate rose nearly 11%.
Image source: Wind
In terms of other Chinese concept stocks, as of the close, Kebiao Technology rose 40.38%, Oceanpower Securities rose 16.64%, Zhihu rose 8.16%, Hilway Metal Mining rose 7.34%, Dada Group rose 6.04%, Gaotu Group rose 4.44%, and Full Bang Group rose 4.31%.
Haidilao's Tehai International landed on the U.S. stock market last night, and the company's stock price rose 48.01% at the beginning of the day of listing, and fell back to nearly 14% as of the close, with a total market value of $13.8 billion.
Image source: Wind
For the real estate sector, the People's Bank of China and other ministries and commissions have introduced a series of measures, including adjusting the interest rate of commercial personal housing loans, lowering the interest rate of personal housing provident fund loans, adjusting the minimum down payment ratio of personal housing loans, etc., and the strong and favorable landing of the policy has aroused great attention and expectations in the market, and also driven the real estate sector stocks to soar.
Dongguan Securities believes that the real estate optimization policy further landing and great strength, will boost market confidence, stimulate real estate sales to bring a positive impact, is expected to further liberalize the purchase restrictions, relax the settlement, optimize the "old for new", "digest the stock of real estate", "optimize the incremental housing" will be the main direction of the policy.
The Dow regained the 40,000-point mark
On May 17, local time, the three major U.S. stock indexes were mixed. The Dow rose 0.34% to 40,000 at 40,003.59, the S&P 500 rose 0.12% to 5,303.27 and the Nasdaq fell 0.07% to 16,685.97.
Image source: Wind
In terms of technology stocks, large tech stocks mostly rose, but chip stocks mostly fell. As of the close, Netflix rose 1.73%, Google's parent company Alphabet rose 1.12%, Amazon rose 0.58%, and Apple rose 0.02%; Micron Technology fell 2.03%, Nvidia fell 1.99%, Broadcom fell 1.19%, Intel fell 0.56%, and TSMC fell 0.39%.
The craze for retail investors has fallen back in recent days. After a single-day rise of 60% to a new high, the game station closed down nearly 20% last night, and the company's stock price has been cut in half in just three trading days. On the news side, Game Station announced plans to sell up to 45 million shares, and the company's preliminary net sales in the first quarter fell significantly compared with the same period last year.
Image source: Wind
For the future performance of U.S. stocks, Huafu Securities judges that the earnings side of U.S. stocks may continue to constitute support, and it is not pessimistic about U.S. stocks throughout the year. However, in the short term, in the context of deflation, it will still take time to reduce interest rates, and interest rate cuts may not be as successful as expected by the market, so we need to be wary of the risk of postponing interest rate cut expectations again, which may bring some disturbance to the valuation of U.S. stocks.
Reviewer: Xu Zhao Editor: Song Zhaoqing Ya Wenhui Proofreader: Zhang Lijing
Issued by: Sun Hong