In the early morning of the 27th Beijing time, US stocks closed higher on Friday, and both the S&P 500 index and the Nasdaq index recorded their biggest weekly gains since November. Alphabet vs Microsoft The financial report of shows that the AI boom driving the rise of technology stocks continues. In March, the core PCE of the United States increased by 2.8% year on year, higher than expected, indicating that inflation pressure remains high.
The Dow rose 153.86 points, or 0.40%, to 38239.66; The Nasdaq Composite Index rose 316.14 points, or 2.03%, to 15927.90; The S&P 500 index rose 51.54 points, or 1.02%, to 5099.96.
The Dow rose 0.67% this week, the second consecutive week of gains. The Nasdaq Composite Index rose 4.23% and the S&P 500 Index rose 2.67%, both ending the previous two consecutive weeks of decline.
Mona Mahajan, senior investment strategist of Edward Jones, said: "The performance of US stocks was turbulent in the early part of this week, but the end was strong. I'm glad that many stocks are rising. Obviously, one of the driving factors is the excellent financial reports from large technology stocks."
Google The stock price of Alphabet, its parent company, soared about 10%. The company announced that its first fiscal quarter earnings exceeded expectations, and also approved the first ever dividend payout and buyback plan of $70 billion worth of shares.
Microsoft closed 1.8% higher, and its third quarter performance exceeded Wall Street's expectations.
The financial reports of Google and Microsoft showed that the AI craze driving the rise of technology stocks continued, which helped to revive the popularity of the US stock market on Friday.
So far, about 38% of the companies in the S&P 500 index have announced their quarterly results, and nearly 80% of them have exceeded their earnings expectations.
JPMorgan Chase Strategists said that nearly 80% of the S&P 500 index companies that have announced their performance so far have exceeded analysts' expectations. However, the stock price response has been unsatisfactory, with better than expected performance leading to lower than average growth, while lower than expected performance is more affected than usual.
More than 50% of the companies in the S&P 500 index have yet to announce their results.
Before Alphabet and Microsoft announced their financial reports, Meta and Caterpillar The financial reports made investors worried about the profit prospects of enterprises.
In addition, the economic data released on Thursday showed that economic growth slowed sharply and inflation remained high: GDP growth in the first quarter was 1.6% lower than expected, while the PCE price index rose 3.4%, much higher than the 1.8% increase in the previous quarter.
On Thursday's economic data, David Donabedian, chief investment officer of CIBC Private Wealth, said, "They are the worst in their respective fields - GDP growth is lower than expected, and inflation is higher than expected."
Bill Adams, chief economist of Comerica Bank, said: "The Federal Reserve will be more worried about inflation exceeding its target in the first quarter than about slowing growth. The Federal Reserve may slow down the pace of balance sheet reduction in the next few meetings, but it will not start to cut interest rates until September."
On the economic data side on Friday, the core price index favored by the Federal Reserve continued to rise in March and rose more than expected, increasing concerns about stubborn price pressure.
The data released by the US Department of Commerce on Friday showed that the so-called core personal consumption expenditure price index (PCE) excluding volatile food and energy rose 0.3% month on month and 2.8% year on year. The overall PCE price index rose 0.3% month on month and 2.7% year on year.
US inflation rose moderately in March, but it is unlikely to change the financial market's expectation that the Federal Reserve will not cut interest rates before September.
The Federal Reserve will hold a monetary policy meeting next week, and the market expects that the agency will keep interest rates unchanged at this meeting.
The financial market initially predicted that the Federal Reserve would cut interest rates for the first time in March, but then it was postponed to June, and now it is postponed to September, because the employment market and inflation data continue to rise unexpectedly this year.
Focus stocks
Google's parent company Alphabet's revenue growth in the first fiscal quarter hit a two-year high, and it plans to pay quarterly dividends for the first time and buy back an additional $70 billion worth of shares. The company's total revenue in the first fiscal quarter was 80.539 billion US dollars, up 15% year on year, and 16% year on year excluding the impact of exchange rate changes; According to the US GAAP, Alphabet's net profit in the first quarter was 23.662 billion US dollars, up 57% year on year; Diluted earnings per share was $1.89, up from $1.17 a year earlier.
Intel The revenue outlook for the second fiscal quarter was lower than expected. Intel's revenue was $12.7 billion, up 9% year on year; The net loss attributable was US $400 million, 86% lower than the net loss attributable to US $2.8 billion in the same period of the previous year; The net profit attributable to non GAAP adjustments was $800 million, while the net loss attributable to non GAAP adjustments in the same period last year was $200 million, turning losses into gains on a year-on-year basis.
Microsoft's performance exceeded expectations, and AI helped accelerate the growth of cloud revenue. The revenue of the third fiscal quarter was 61.858 billion US dollars, up 17% year on year, and the same growth rate was 17% year on year excluding the impact of exchange rate changes; Net profit was US $21.939 billion, up 20% year on year, and the impact of exchange rate changes excluded was also up 20% year on year
Snap Both the performance of the first fiscal quarter and the performance guidance of the second fiscal quarter exceeded expectations.
Mobileye's revenue in the first fiscal quarter fell year-on-year.
Unilever Revenue growth in the first fiscal quarter exceeded expectations.
Teladoc Health's loss in the first fiscal quarter expanded year on year.
TSMC System level wafer technology will meet major breakthroughs.
Vietnamese officials announced on Friday that Nvidia's delegation is visiting Hanoi, Ho Chi Minh City and Da Nang, three major Vietnamese cities, to select high-tech investment sites. The senior management of the company's AI department said Nvidia hopes to become a partner in developing artificial intelligence in Vietnam.
The National Highway Traffic Safety Administration (NHTSA) confirmed on Friday that the safety regulatory agency has started an investigation Tesla In December last year, it was announced whether it was enough to recall more than 2 million vehicles to install new automatic driving systems. The recall investigation of this software repair covers the Model Y, X, S, 3 and Cybertruck vehicles equipped with Autopilot manufactured in the United States from 2012 to 2024.
The First Savings Bank of Austria will AMD The company's rating was downgraded to hold.
IDC data shows that, Apple The company's share of smartphone shipments in China declined in the first quarter.
UBS Keep right Amazon "Buy" rating, the target price is raised from $198 to $215. Amazon will announce its quarterly results next Tuesday (30th). The bank believes that the focus of investors will expand to the overall franchise revenue and operating income of the company, which is more than the narrow attention paid to the cloud business AWS before, especially the business growth has gone out of the trough in the second and third quarters of last year.
The market expects that Amazon's quarterly revenue will be at the top of the guidance range of $143.5 billion, its operating revenue will be between $13 billion and $13.5 billion, and its cloud business will grow by 15% to 16%. The bank also focuses on Amazon's total capital expenditure.
According to the research report released by Bank of America Securities, Meta's revenue in the first fiscal quarter increased by 27% year on year to $36.5 billion, higher than the market's expectation of $36.2 billion. Earnings per share also beat expectations, reaching $4.71, compared with the market's expectation of $4.33. Bank of America reiterated its "buy" rating and maintained its target price of $550.
In other market scenes, major European stock indexes collectively rose, Germany's DAX30 index rose 1.33%, Britain's FTSE 100 index rose 0.77%, France's CAC40 index rose 0.89%, and Europe's Stoxx 50 index rose 1.37%.
West Texas Intermediate Crude Oil (WTI) futures for June delivery on the New York Mercantile Exchange rose 28 cents, or 0.34%, to US $83.85 per barrel.
Europe Intercontinental Exchange Brent crude oil futures for June delivery rose 49 cents, or 0.55%, to US $89.50 per barrel.
US crude oil rose 0.85% this week, while Brent crude oil, the global benchmark for crude oil prices, rose 2.53%. Both of them recorded declines for two consecutive weeks.
When the stock market recovers, open an account first! Intelligent fixed investment, condition sheet, individual stock radar... for you>>
Massive information, accurate interpretation, all in Sina Finance APP
Editor in charge: Zhang Jun SF065
