
On Tuesday, the US stocks closed mixed as the Dow dropped for the second consecutive day, weighed down by rising US Treasury yields, while the Nasdaq posted a slight gain. Investors are closely watching corporate earnings reports, the Fed’s outlook on rate cuts, and the upcoming US presidential election.
Since the start of October, US Treasury yields have been steadily climbing. On Tuesday, the 10-year Treasury yield rose by 2.4 basis points, surpassing 4.20% for the first time since July, reaching as high as 4.222%. Meanwhile, the 2-year Treasury yield climbed to 4.04%. Recent statements from Fed officials reflecting a cautious stance on rate cuts have contributed to this surge in bond yields.
In addition to bond market developments, investors are paying close attention to the progress of the US presidential election. The resurgence of the “Trump trade” is increasing market volatility. Analysts suggest that the likelihood of Trump winning the election is rising, which could bring inflationary pressures and market instability.
LPL Financial’s Chief Global Strategist, Quincy Krosby, commented that the market has entered an overbought zone, making it susceptible to any negative news. He added that the market is concerned the Fed has yet to declare victory over inflation, not to mention the uncertainties that follow the election.
The stock market was also influenced by key earnings reports. General Motors (GM) surged nearly 10% on Tuesday after reporting strong Q3 results, with the company raising its full-year guidance for 2024. After the market closed, Starbucks reported its third consecutive quarter of declining revenue and announced it would pause its guidance for the next fiscal year. Starbucks shares initially plunged 7% after hours, but losses narrowed to 4% by the end of extended trading.
Looking ahead, Tesla is set to release its earnings report after the market closes on Wednesday. Wall Street analysts expect Tesla’s Q3 revenue to reach $25.46 billion, representing a 9% year-over-year increase, while earnings per share are projected to be $0.60, a 9% decline. Analysts predict that Tesla’s profit margins may face pressure due to ongoing industry challenges, with margins being a key focus in the Q3 report.
US Stocks
Fundamental Analysis:
Major tech stocks were mostly higher. Microsoft gained over 2%, Meta rose more than 1%, while Amazon and Google saw modest gains. Nvidia dipped slightly.
Precious metals and bank stocks strengthened, with Coeur Mining, Hecla Mining, and Pan American Silver rising over 2%, and Kinross Gold jumping more than 4%.
General Motors rallied nearly 10%, marking its highest share price since February 2022, as Q3 revenue, net sales, and adjusted earnings per share all beat expectations.
Most major Chinese stocks traded higher, with the Nasdaq Golden Dragon China Index climbing 0.94%. iQIYI surged over 7%, while Full Truck Alliance and Li Auto advanced more than 3%.
Pinduoduo, Weibo, and XPeng gained over 2%, while NIO, JD.com, and Bilibili rose more than 1%. Baidu, Tencent Music, and Futu Holdings posted slight gains, while Alibaba, NetEase, and Vipshop declined modestly.
Technical Analysis:

Market Trends:
- Dow Jones: Fell 6.71 points, or 0.02%, to 42,924.89
- Nasdaq: Rose 33.12 points, or 0.18%, to 18,573.13
- S&P 500: Dropped 2.78 points, or 0.05%, to 5,851.20
Hong Kong Stock Market
Fundamental Analysis:
Hong Kong’s stock indices opened higher and maintained gains throughout the session. On the sector front, tech stocks performed well, with Meituan rising over 6%, Xiaomi up more than 4%, and JD.com gaining nearly 3%.
Chinese brokerage stocks surged, led by Shenwan Hongyuan, which climbed nearly 10%. Solar stocks also saw strong momentum, with Flat Glass Group jumping more than 11%. Additionally, China Resources Beverage soared over 12% on its first day of trading.
Pop Mart surged more than 18% following its Q3 earnings report, which showed an impressive year-on-year revenue increase of 120% to 125%, with Mainland China revenue up 55% to 60%, and international revenue skyrocketing by 440% to 445%.

Technical Analysis:
- Hang Seng Index: Rose 1.67%, closing at 20,841.73 points
- Hang Seng Tech Index: Gained 2.34%, ending at 4,627.41 points
- China Enterprises Index: Increased 2.00%, closing at 7,510.47 points
FTSE China A50 Index
Fundamental Analysis:
Mainland China’s A-share indices also closed higher across the board. By midday, total market turnover reached 1.1546 trillion yuan, down 67.1 billion yuan from the previous session. Over 3,400 stocks gained during the session.
Sector-wise, wind power equipment, defense, and aerospace sectors led the gains, while genetically modified organisms (GMO) and short-form video gaming stocks lagged.
Defense stocks were on a tear, with Aviation Technology, China Shipbuilding Defense, Guangqi Technology, and Aero Engine Corporation all hitting limit-up.
Wind power equipment stocks extended gains from the previous session, with stocks like Ming Yang Smart Energy and Dayang Electric surging over 10%.
Meanwhile, the “Harmony OS” concept stocks were active again, with several companies such as Enhua Intelligence and Zhidu Corporation hitting their daily upper limits.
The market was further buoyed by the official release of Huawei’s Harmony OS, the world’s third-largest mobile operating system after Apple’s iOS and Google’s Android.
Technical Analysis:

Market Trends:
- Shanghai Composite Index: Rose 0.79%, closing at 3,311.87 points
- Shenzhen Component Index: Gained 0.59%, closing at 10,621.91 points
- ChiNext Index: Increased 0.25%, finishing at 2,222.54 points
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