Sina US Stock News In the early morning of the 13th Beijing time, US stocks closed sharply on Monday, led by the technology and financial sectors. The Dow fell more than 600 points, and the Nasdaq suffered its biggest daily decline in three weeks. The stronger US dollar crude oil The continued decline and Trump's tariff threat to Canada made investors worried about the prospects of global economic growth.
At 16:00 on November 12 (05:00 on November 13, Beijing time), the Dow fell 602.12 points, or 2.32%, to 25387.18; The S&P 500 index fell 54.79 points, or 1.97%, to 2726.22; The Nasdaq Composite Index fell 206.03 points, or 2.78%, to 7200.87.
The COBE Volatility Index (VIX), a measure of market panic, rose 16.5% to 20.23.
The financial sector dragged the Dow down. Dow component stocks Goldman Sachs (GS) fell 7.5%.
Technology stocks led the decline, and the stock price of technology industry giant FAANG fell more than 2%, of which Apple It closed down more than 5% after JP JPMorgan Chase Down Apple According to the company's stock rating, Longbow Research, a securities firm, said that the iPhone faced the potential risk of declining demand in China. Amazon (AMZN) closed down 4.4%.
Chip stocks fell sharply collectively, and CRUS closed down 13.8%, AMD It closed 9.5% lower, Broadcom fell more than 7%, and NVDA closed 7.8% lower.
The tobacco sector also generally declined as the US Food and Drug Administration (FDA) sought to ban peppermint cigarettes in the US.
Monday was the Veterans Day of the United States. No important economic data was released. The bond market was closed, and trading in U.S. stocks was light.
What are the market drivers
Some stock market analysts believe that the incentives for the sharp decline of US stocks on Monday include concerns about the policy of the Federal Reserve to raise interest rates and Trump's trade war against trading partners.
According to media reports on Monday, President Trump of the United States is considering imposing tariffs on cars produced overseas. According to the report, Trump has told his aides that he can reach a better trade agreement with Canada because he has threatened Canadian Prime Minister Justin Trudeau to impose more tariffs on cars produced in Canada.
Earlier this year, Trump said that he would impose a 25% tariff on cars produced and exported to the United States outside the United States. Many auto manufacturers and foreign governments criticized Trump for this, pointing out that increasing tariffs would raise car prices and hurt car sales and employment.
The dollar soared Monday in London Intercontinental Exchange The (ICE) dollar index (DXY) rose nearly 0.7% to 97.535, a new high since June 2017.
US crude oil prices fell for the 11th consecutive trading day, making investors worried about the slowdown in global economic growth. On Monday morning, US oil prices climbed as major oil producing countries discussed the possibility of production reduction over the weekend. But Trump Twitter He said that he hoped that the Organization of Petroleum Exporting Countries (OPEC) would not reduce production, because from the perspective of supply, the price of crude oil should fall.
Peter Cardillo, chief market economist of Spartan Capital, said: "The return of crude oil futures prices into a bear market means that the global economy's demand for crude oil is weak."
Germany and Japan, the two major economies in the world, may shrink in the last quarter, further proving that global economic growth has passed its peak and the risk of economic downturn is increasing.
At present, few analysts expect the global economy to decline, because the U.S. economy is developing, and most analysts even expect the global economy to recover in 2020. However, as the global business cycle has entered a mature stage, the growth peak has passed in 2017, and the downside risk of the global economy has become greater.
UBS In a research paper published on Monday, he said: "The global economy seems to be ushering in another period of serious weakness, and the global economic data has seen the worst deterioration since the euro zone crisis."
Focus on individual stocks
Apple (AAPL) closed sharply down 5.04%. More and more analysts are warning Apple's most important product line. JPMorgan Chase downgraded the company's stock rating. Longbow Research, another securities firm, said that the iPhone faced the potential risk of declining demand in China.
In addition, Lumentum, an Apple supplier, said that one of its major customers had significantly reduced orders for 3D sensors. Lumentum shares plummeted.
Alibaba (BABA) closed 1.4% lower. The Chinese e-commerce giant's turnover reached US $30.8 billion in 24 hours on Singles Day, surpassing US $25.3 billion in the same period last year. However, from the historical data, in the week after the Double 11, Ali's share price fell most of the time.
German software giant SAP（ SAP ）It closed down 6.36% after the company announced its cash acquisition of data acquisition software company Qualtrics. SAP said that it had reached an agreement with research software company Quartrics International to acquire it with $8 billion in cash.
Aurora Cannabis (ACB) shares climbed. The Canadian marijuana company announced on Monday that its first fiscal quarter net profit climbed to $105.5 million, up from $3.6 million in the same period last year.
British American Tobacco BTI, PM and Altria (MO) share price fell. The Wall Street Journal reported on Friday that the US Food and Drug Administration (FDA) plans to ban peppermint cigarettes in the US.
Power utility company Pacific Watt Power (PCG) shares fell. Its operating base in California was attacked by wildfire, and the company is currently carrying out rehabilitation work. The company announced last Friday afternoon that the wildfire had caused about 25000 users to lose power.
Tesla (TSLA) closed down 5.5%. According to media reports, Tesla raised the price of basic models of Model S and Model X, and the price of Model S 75D and Model X 75D increased by $1000 to $78000 and $84000 respectively.
Other market performance
Asian markets ended broadly lower on Monday. In terms of European stock markets, the Pan European 300 Index closed 0.82% lower, the FTSE 100 Index of Britain closed 0.65% lower, the DAX Index of Germany closed 1.79% lower, the CAC Index of France closed 0.93% lower, and the IBEX Index of Spain closed 0.69% lower.
The price of gold futures for December delivery on the New York Mercantile Exchange fell by 5.10 dollars, or 0.4%, to 1203.50 dollars/ounce, the lowest closing price since October 10.
Delivered in December silver Futures prices fell 12.9 cents, or 0.9%, to close at 14.011 US dollars/ounce.
West Texas Intermediate Crude Oil (WTI) futures for December delivery on the New York Mercantile Exchange fell 26 cents, or 0.4%, to US $59.93/barrel. So far, WTI futures in the United States have declined for 11 consecutive trading days, the longest consecutive decline in history.
Editor in charge: Zhang Jun SF065
