On Tuesday, August 20th local time, major US stock indices fell across the board. Spot gold has once again reached a historic high, rising above $2530 per ounce during trading.
On the US stock market that day, JD.com fell sharply, closing down 4.57%. After the market closed, JD.com continued to decline, with a drop of over 10% at one point.
This week, the market will also pay attention to the Jackson Hole Central Bank Annual Meeting, where Federal Reserve Chairman Powell will deliver a speech that may provide more clear information on the outlook for US interest rates.
Regarding the overseas situation, according to CCTV News, the US Secret Service is investigating bomb threats received at various locations in downtown Chicago, where the Democratic National Convention was held on August 20th local time. Law enforcement agencies are screening affected areas and checking the credibility of threats.
Gold prices continue to hit historic highs
Institutions are bullish at $3000
On August 20th local time, the three major stock indexes in the United States closed slightly lower. According to Wind data, as of the close, the Dow Jones Industrial Average fell 0.15%, the S&P 500 index fell 0.2%, and the Nasdaq fell 0.33%. The Nasdaq and S&P 500 index have ended their eighth consecutive rise. The market continues to pay attention to US stock reports, Federal Reserve meeting minutes, and Powell's speech at the Jackson Hole Central Bank Annual Meeting.
Most large technology stocks in the US stock market have risen. Apple rose 0.24%, Amazon rose 0.37%, Netflix soared 1.45%, Google rose 0.31%, Meta fell 0.48%, and Microsoft rose 0.77%.
Energy stocks fell across the board. ExxonMobil fell 3.34%, Chevron fell 1.44%, ConocoPhillips fell 1.7%, Schlumberger fell 2.91%, and Western Petroleum fell 2.11%.
Most popular Chinese concept stocks fell. The Nasdaq China Golden Dragon Index fell about 4%. New energy vehicle stocks fell across the board, with NIO falling 5.28%, Xiaopeng Motors falling 5.97%, and Ideal Motors falling 5.4%.
In terms of commodities, international gold and silver prices have soared, and spot gold briefly hit a historical high above $2530 in early trading on the US stock market. International oil prices remain low, with Brent crude almost wiping out the gains since the beginning of this year. Concerns about Asian demand and ceasefire talks in the Middle East have put pressure on oil prices.
Citigroup analysts recently stated in a report that gold investor sentiment is expected to rise in the next three to six months, with gold prices expected to reach $3000 per ounce by mid-2025.
Patrick Yip, Senior Director of Business Development at the US Precious Metals Exchange, stated at the end of last month that if geopolitical uncertainty persists, interest rates are cut, or global central banks increase their purchases, gold prices could reach $3000 as early as next year.
Since the beginning of this year, the price of gold has risen by over 20%. Industry insiders believe that the recent surge in gold and silver is mainly due to market expectations that US policy makers will soon begin cutting interest rates. Recently, several Federal Reserve officials have hinted that a rate cut is imminent, especially hawkish committee member and Minneapolis Fed Chairman Kashkari, who stated that the weak job market has opened the door for a September rate cut. Investors generally expect the Federal Reserve to cut interest rates at next month's meeting. This expectation undoubtedly increases the attractiveness of high-yield gold in a low interest rate environment. In addition, the purchasing power of global central banks and the safe haven demand triggered by tensions in the Middle East have also provided strong support for the rise of gold.
JD.com drops sharply
After the US stock market closed, JD.com plummeted, with a drop of over 10% at one point.
According to media reports, important shareholders of JD.com plan to reduce their holdings. As of now, no response has been received from the relevant parties regarding this matter.
Russian Ministry of Defense: Belgorod and others have been established
Three army groups
According to CCTV News, Russian Defense Minister Belousov held a meeting of the Border Region Military Security Coordination Committee on the 20th. Belousov stated that the local administrators of Kursk, Belgorod, and Bryansk have established 24/7 direct communication with the commanders of the Russian military force groups in the three regions and the leadership of the Russian Ministry of Defense.
At the meeting, Belousov announced the establishment of the Belgorod, Kursk, and Bryansk military units by the Russian military, which will be responsible for "defending citizens and territories from attacks by drones and other means of attack," but he did not disclose the names of the commanders of these units.