Market Recap
On Friday, US stock market closed lower as the S&P 500 retreated from a record high, with the Dow Jones dropping 450 points. Retail giant Walmart’s weaker-than-expected earnings outlook weighed on major indices. Meanwhile, Atlanta Fed President Raphael Bostic projected two rate cuts in 2025 but warned of rising uncertainty.
On the economic front, US jobless claims increased by 5,000 to 219,000 last week, slightly above estimates. The four-week average stood at 215,300, while continuing claims rose by 24,000 to 1.869 million.
Bostic emphasized the Fed’s cautious stance, stating:
“While I expect two rate cuts in 2025, uncertainties could influence this outlook in either direction.”
Market Highlights
- Tech Stocks: Mostly lower; Amazon, Netflix, Meta, and Tesla fell over 1%, while Intel gained more than 1%. Apple, Nvidia, and Microsoft saw modest gains.
- Chinese Stocks: Mixed performance; Alibaba soared over 8%, JD.com and Weibo climbed more than 5%, while Baidu gained nearly 2%. iQIYI tumbled 10%, XPeng lost 2%, and Nio dropped 19%.
US Markets – Technical Analysis
US Market Performance
- Dow Jones: ▼ 450.94 pts (-1.01%) to 44,176.65
- Nasdaq: ▼ 93.89 pts (-0.47%) to 19,962.36
- S&P 500: ▼ 26.63 pts (-0.43%) to 6,117.52
Hong Kong Markets Surge as Alibaba Leads
Hong Kong stocks opened higher, with tech giants driving gains. Alibaba jumped over 10% following strong earnings, while JD.com and Kuaishou gained more than 4%. Tencent also climbed 4%.
Alibaba’s Q3 earnings showed:
- Operating profit surged 83% YoY, beating expectations.
- Cloud revenue rebounded 13%, marking the fastest growth in two years.
- AI investments ramped up, with infrastructure spending expected to surpass the last decade’s total over the next three years.
Hong Kong Market – Technical Analysis
Hong Kong Market Performance
- Hang Seng Index: ▲ 2.81% to 23,238.42
- Hang Seng Tech Index: ▲ 4.69% to 5,757.71
- China Enterprises Index: ▲ 2.91% to 8,564.39
Mainland China Markets Highlights
Chinese A-shares opened slightly lower but rebounded strongly, with over 2,700 stocks advancing.
Top-performing sectors: Data centers, GPUs, computing hardware, and AI infrastructure.
Lagging sectors: Beverages, textiles, and consumer fashion.
China Markets – Technical Analysis
China Indices Performance
- Shanghai Composite: ▲ 0.77% to 3,376.72
- Shenzhen Component: ▲ 1.62% to 10,969.76
- ChiNext Index: ▲ 2.23% to 2,275.32
Risk Disclosure
Securities, Futures, CFDs and other financial products involve high risks due to the fluctuation in the value and prices of the underlying financial instruments. Due to the adverse and unpredictable market movements, large losses exceeding your initial investment could incur within a short period of time.
Please make sure you fully understand the risks of trading with the respective financial instrument before engaging in any transactions with us. You should seek independent professional advice if you do not understand the risks explained herein.
Disclaimer
This information contained in this blog is for general reference only and is not intended as investment advice, a recommendation, an offer, or an invitation to buy or sell any financial instruments. It does not consider any specific recipient’s investment objectives or financial situation. Past performance references are not reliable indicators of future performance. Doo Prime and its affiliates make no representations or warranties about the accuracy or completeness of this information and accept no liability for any losses or damages resulting from its use or from any investments made based on it.
The above information should not be used or considered as the basis for any trading decisions or as an invitation to engage in any transaction. Doo Prime does not guarantee the accuracy or completeness of this report and assumes no responsibility for any losses resulting from the use of this report. Do not rely on this report to replace your independent judgment. The market is risky, and investments should be made with caution.
