On Tuesday, as U.S. election voting officially began, all three major US stocks indexes closed higher, each rising over 1%. The October U.S. ISM Services Index climbed to 56%, marking its biggest increase in two years. The market is also closely watching this week’s Federal Reserve monetary policy meeting.
Vote counting in the U.S. election continues. At the time of writing, Trump is leading Harris. According to CCTV News and preliminary estimates from multiple U.S. media outlets, Trump has secured 214 electoral votes, while Harris has 179.
Fueled by the election atmosphere, “Trump Trades” are heating up across the board. Trump Media & Technology Group (DJT) closed slightly down but surged over 10% after hours. During the Asian trading session, DJT’s gains extended to 43%, with fellow Trump-affiliated stock Tesla spiking as much as 8%.
In individual stocks, Palantir’s earnings report showed strong AI demand, boosting Nvidia, which closed nearly 3% higher, reclaiming its position as the largest U.S. stock by market capitalization. By the close, Nvidia’s share price was $139.91, with a market cap of $3.43 trillion, surpassing Apple, which closed at $223.45 with a $3.38 trillion valuation.
“AI Dark Horse” AMD plunged nearly 16% after hours, following disappointing quarterly earnings and increasing delisting risk as it remains unable to release last fiscal year’s annual report.
US Stocks
Fundamental Analysis:
Large-cap tech stocks rose across the board, with Tesla up over 3%, and Nvidia and Meta up over 2%. Amazon and Netflix rose more than 1%, while Microsoft, Google, and Apple saw smaller gains. Semiconductor, chip, and precious metals stocks led gains, with Century Aluminum up over 20%, GlobalFoundries up more than 14%, AMD up over 6%, Alcoa up more than 5%, and Broadcom and Intel rising over 3%.
The Nasdaq Golden Dragon China Index rose 1.63%, with major Chinese stocks mostly up. XPeng rose over 6%, Bilibili over 5%, and iQIYI, Zhihu, Weibo, and Tencent Music up over 4%. Li Auto climbed more than 3%, and NIO rose over 2%.
Technical Analysis:
Market Trends:
- Dow Jones: +427.28 points, or 1.02%, to 42,221.88.
- Nasdaq: +259.19 points, or 1.43%, to 18,439.17.
- S&P 500: +70.07 points, or 1.23%, to 5,782.76.
Hong Kong Stock Market
Fundamental Analysis:
Hong Kong’s three major indexes opened lower and trended downward. Among tech stocks, JD.com dropped more than 5%, Kuaishou over 4%, and Alibaba, Meituan, and Xiaomi over 3%. Household appliances led declines, with Haier Smart Home down over 5%, and education stocks lagged, with New Oriental down more than 6%. Rare earth stocks bucked the trend, with JL Mag Rare-Earth up over 16%, and robot-related stocks surged, with Shanghai Electric up over 15% following its acquisition of Ningfeng Industrial.
Technical Analysis:
- Hang Seng Index: -2.60% to close at 20,460.14.
- Hang Seng Tech Index: -3.02% to close at 4,552.02.
- Hang Seng China Enterprises Index: -2.84% to close at 7,342.25.
FTSE China A50 Index
Fundamental Analysis:
Mainland China’s three major indexes rose in the morning session. By midday, total market turnover reached ¥1.7424 trillion, up ¥317.3 billion from the previous day. Over 2,900 stocks rose across the board.
Energy metals, GMOs, flying cars, and solid-state battery stocks led gains. Solid-state battery stocks were the top performers, with stocks like Blue Ocean HT and Shanghai Shineway hitting their daily limit. Low-altitude economy stocks also rose significantly, and internet finance remained active. Multi-financial stocks led the declines, with CDF Investment, COFCO Capital, and AVIC Industry Finance down more than 5%.
Technical Analysis:
Market Trends:
- Shanghai Composite Index: +0.16% to 3,392.36.
- Shenzhen Component Index: +0.31% to 11,041.56.
- ChiNext Index: +0.83% to 2,308.83.
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 strategies reflect only the analysts’ opinions and are for reference only. They 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.
