The positive sentiment in the US stock market continues, and the US stock market is facing another surge.
On February 7th local time, all three major US stock indexes closed higher, with the Dow reaching a historic high. The S&P 500 index is approaching the 5000 point mark, setting a new historical high. Nvidia's stock price has broken through $700 for the first time.
Currently, more than half of the US stock market earnings season has been disclosed, and investors are evaluating a batch of newly released financial reports and speeches from multiple Federal Reserve officials. Federal Reserve officials predict that interest rates will only be lowered two to three times this year.
The S&P index is approaching the 5000 mark
On February 7th local time, all three major US stock indexes closed higher. According to Wind data, as of the close, the Dow Jones Industrial Average rose 0.4%, the S&P 500 index rose 0.82%, and the Nasdaq index rose 0.95%.
It is worth noting that the S&P 500 index rose as high as 4999.89 points during the trading session, setting a new historical high.
Nvidia rose over 2.7%, reaching four historic highs within five days, and its stock price broke through $700 for the first time. Since 2024, Nvidia's stock price has risen by 41.55%, with a latest total market value of $1.73 trillion.
Snap fell more than 34%, and the company's first quarter loss estimate exceeded market expectations.
Half of the financial reporting season
On February 7th local time, ARM released its financial report showing that the earnings per share for the third quarter of the 2024 fiscal year were 0.08 US dollars, with an expected value of 0.1 US dollars; Revenue of 824 million US dollars, expected to be 762 million US dollars; Net profit of 87 million US dollars, expected to be 121 million US dollars.
The company has raised its annual revenue growth forecast from 2.96 billion US dollars to 3.08 billion US dollars to 3.16 billion US dollars to 3.21 billion US dollars. ARM's US stock market surged by over 36% after market hours.
Disney's financial report shows a revenue of $23.55 billion in the first quarter of the 2024 fiscal year, with analysts expecting $23.8 billion. The number of Disney+subscribers in the first quarter was 149.6 million, with analysts expecting 151.2 million. Disney will increase its cash dividend by 50% and plans to repurchase $3 billion worth of stocks in 2024.
Disney will invest $1.5 billion in Epic Games, the developer of the game Fortnite. Disney's stock price rose 7% after hours.
According to PayPal's financial report, the earnings per share for the fourth quarter of 2023 were $1.29, with an expected earnings of $1.17; Revenue of 8.03 billion US dollars, expected to be 7.9 billion US dollars; Net profit of 1.402 billion US dollars, expected to be 1.268 billion US dollars. The company expects its net revenue to increase by 6.5% -7% in the first quarter of 2024.
PayPal's financial report was better than expected, but its performance guidance fell short of expectations, with the US stock market falling more than 3% after hours.
The largest auction of 10-year treasury bond bonds in US history
On February 7 local time, the US government auctioned US $42 billion of 10-year treasury bond bonds on Wednesday, the largest auction of 10-year US bonds ever. The lower than expected winning bid yield indicates that investors believe the Federal Reserve will shift towards interest rate cuts this year to cope with slowing economic growth.
Prior to the start of the auction, US Treasury yields fell to an intraday low as regional bank stocks weakened again, with New York Community Bank leading the decline in its loan portfolio affected by rising interest rates. Meanwhile, the S&P 500 index hit a historic high. This was reflected in the US treasury bond bond market in the past week, when the strong January employment data triggered the largest two-day decline in more than a year.
Israeli Prime Minister Says Refusing Hamas's Ceasefire Demands
Israeli Prime Minister Netanyahu stated on the 7th that he has rejected the Palestinian Islamic Resistance Movement (Hamas)'s demand for a ceasefire in the Gaza Strip, and that the Israeli military will defeat Hamas within a few months.
Netanyahu stated at a press conference on the evening of the 7th that accepting Hamas's ceasefire demands will not only prevent the release of detainees, but will also bring another disaster to Israel. He has ordered the Israeli Defense Forces to prepare for operations in the southernmost city of Rafah in the Gaza Strip.
Netanyahu said that Israel is moving towards a "complete victory" and the Israeli army will defeat Hamas within a few months. Israel will remain in the Gaza Strip after the war to ensure its demilitarization.
Hamas issued a statement on the evening of the 6th, stating that it has responded to a new round of agreements on the exchange of detained individuals and submitted them to mediation parties such as Qatar and Egypt. The Israeli Intelligence and Secret Service (Mossad) issued a statement on the night of the 6th, stating that Qatar has conveyed Hamas's response to Mossad.
The first round of negotiations on a ceasefire agreement between Israel and Hamas was held in Paris, France on January 28th, with the participation of Qatar's Prime Minister Mohammed and intelligence officials from the United States, Israel, and Egypt. Due to Hamas and Israel's refusal to negotiate face-to-face, Egypt and Qatar had prior communication with Hamas, and representatives from both countries went to Paris to negotiate with Israel. The parties to the meeting reached an agreement on a new round of exchange of detained personnel.