The U.S. stocks saw a mixed close on Thursday. Driven by significant price increases in Apple and Nvidia, the Nasdaq surged by over 270 points. 

Meanwhile, the broader market was influenced by the U.S. Producer Price Index for March, which marked its largest year-on-year rise in eleven months.  

Investors are now poised for Friday, when several major banks are scheduled to release their earnings reports.  

Amidst these developments, John Williams, President of the New York Federal Reserve, noted no immediate need to adjust monetary policy, aligning with the European Central Bank’s strong indications towards an impending rate cut. 

The Producer Price Index (PPI) for March increased by 2.1% compared to last year, and by 0.2% from the previous month, just below the market expectations of 2.2% and 0.3%, respectively. 

Jamie Cox, Managing Partner at Harris Financial Group, downplayed the inflation data, stating, “Inflation data is merely noise; what matters is the market’s reaction.  

There are significant signs of deflation, yet the final stretch in combating inflation, which involves achieving the Fed’s 2% target, remains the most challenging.” 

U.S. Stocks

Fundamental Analysis: 

The tech sector saw robust performance, with Apple and Nvidia each jumping over 4%.  

Google-A’s stocks increased by over 2%, while Amazon and Tesla both saw rises of over 1%, with Amazon reaching a new all-time high closing price.  

The semiconductor and consumer electronics sectors were notably strong, with companies like Arm, Broadcom, and Micron Technology recording increases exceeding 4%. 

Contrasting with the tech sector, utilities and insurance segments faced declines.  

Primerica’s stocks fell sharply by over 8%, and declines were also notable in American Family Life Insurance and Reinsurance Group of America, which dropped over 4% and 2%, respectively. 

The Nasdaq Golden Dragon China Index slightly increased by 0.07%. Bilibili led the gains with over 4%, followed by Full Truck Alliance and New Oriental Education, which both increased by over 2%.  

Other Chinese companies like Futu Holdings, XPeng Motors, Pinduoduo, JD.com made moderate gains, while NIO, NetEase, and Li Auto saw declines exceeding 2%. 

Technical Analysis: 

(S&P 500 Index, 1-day chart) 

Market Trends: 

• Nasdaq climbed by 271.84 points, a gain of 1.68%, closing at 16,442.2. 
• Dow Jones slightly fell by 2.43 points or 0.01%, closing at 38,459.08. 
• S&P 500 Index rose by 38.42 points or 0.74%, ending at 5,199.06. 

Hong Kong Stock Market

Fundamental Analysis: 

Hong Kong stocks declined across the board with notable drops in tech and insurance sectors.  

The Hang Seng Index fell by 1.73%, while the Hang Seng Tech Index dropped by 1.08%.  

The A50 index observed a slight downtrend with specific sectors like electronics and telecommunications seeing gains amidst general market declines. 

Gold stocks, especially Lingbao Gold, surged contrary to the broader market trends, with spot gold reaching a new high of $2390 per ounce.  

The strengthening position of gold in global central bank reserves suggests potential future price increases above $3000 per ounce. 

Technical Analysis: 

(Hang Seng Index, 1-day chart) 

Market Trends: 

• Hang Seng Index (HSI) fell 1.73%, closing at 16,799.67. 
• Hang Seng Tech Index (HSTECH) dropped 1.08%, closing at 3,500.16. 
• Hang Seng China Enterprises Index (HSCEI.) fell 1.49%, ending at 5,914.24. 

FTSE China A50 Index

Fundamental Analysis: 

China’s three major indices experienced slight declines. However, stocks associated with equipment updates, particularly in the home appliances sector, demonstrated strong performance.  

Notably, Chunlan, Aishida, Shuai Feng Electric, and Xueqi Electric were among more than ten stocks that reached their upper trading limits. 

In terms of sector performance, precious metals, ornaments, kitchen and bathroom appliances, black appliances, telecommunications equipment, shipping ports, oil services engineering, and electronic components all saw significant gains.  

On the other hand, sectors such as batteries, fisheries, insurance, cinema lines, digital media, photovoltaic equipment, fiberglass, and real estate development faced notable declines. 

Technical Analysis:  

(SSE Composite Index, 1-day chart) 

Market Trends: 

• Shanghai Composite Index (SHCOMP) fell 0.04%, to 3,033.08. 
• Shenzhen Component Index (SZCOMP) dropped 0.36%, to 9,267.05. 
• ChiNext Index (CHINEXT) fell 0.67%, closing at 1,770.19. 
• SSE Sci-Tech Innovation 50 Index rose 0.50%, to 742.4. 

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