Suddenly benefiting, the stock price of this company skyrocketed.
On November 18th local time, the three major stock indexes of the US stock market fluctuated. As of the close, the Dow Jones Industrial Average fell 0.13%, the Nasdaq rose 0.60%, and the S&P 500 index rose 0.39%.
Nvidia will release its financial report on November 20th, and analysts expect third quarter revenue to increase by 82.8%, but the growth rate is the lowest in six quarters. Bank of America strategists believe that the release of Nvidia's financial report will bring greater market volatility and may determine the recent market trend.
According to a report by the Financial Times, Trump's social media company is approaching a full share acquisition of the cryptocurrency trading platform Bakkt. As a result of this news, Bakkt's stock price experienced several circuit breakers in late trading, ultimately closing up over 160%.
The three major stock indexes in the US stock market have different rises and falls, and oil prices have skyrocketed
On November 18th local time, the three major US stock indexes fluctuated. As of the close, the Dow Jones Industrial Average fell 55.39 points, or 0.13%, to 43389.60 points; The Nasdaq rose 111.69 points, or 0.60%, to 18791.81 points; The S&P 500 index rose 23.02 points, or 0.39%, to 5893.62 points.
The Nasdaq has ended four consecutive declines, with the technology sector showing strong performance. Tesla rose more than 5%. It is reported that Trump's transition team told the consultant that they plan to take the federal framework of fully autonomous vehicle as one of the priorities of the Ministry of Transport. Nvidia fell more than 1% and will release its third quarter financial report on Wednesday. Analysts expect its third quarter revenue to increase by 82.8% year-on-year, reaching $33.13 billion, but the growth rate will be the lowest in six quarters. Trump Media Technology rose over 16%, while US stock Bakkt surged over 160%. According to reports, Trump's social media company is in deep negotiations to acquire Bakkt, a cryptocurrency trading platform under the Intercontinental Exchange.
On the news front, Chris Larkin of Morgan Stanley said, "Traders seem to be assessing the potential impact of Trump's new administration policies on the economy, as well as the possibility that the Federal Reserve may slow down its interest rate cuts. This week's economic calendar is relatively light, and the focus will shift to earnings - especially Nvidia's earnings, which could determine the short-term momentum of the market
Strategists from Bank of America Securities predict that Nvidia's financial report to be released this Wednesday will bring greater volatility compared to the next non farm payroll data, consumer price index, or Federal Reserve decision. They urge clients to hedge against potential impacts to prevent disappointing financial results. The team, including Gonzalo Asis and Quan Oucheng, stated in a report to clients on Monday that "the market took a breather last week after the post election rally, and we believe that Nvidia's financial report will determine the market's recent trend." A strategist at Bank of America Securities said that when Nvidia releases its financial report on November 20th, the implied volatility of the S&P 500 index will be consistent with Nvidia's own implied volatility, indicating that the risks brought by the report are higher than the upcoming employment and inflation data or Federal Reserve meeting.
In terms of the future, Morgan Stanley has raised the benchmark target price for the S&P 500 index by the end of 2025 to 6500 points in its latest report. The report points out that as the Federal Reserve continues to cut interest rates in 2025 and business cycle indicators further improve, US corporate profit growth will continue to expand. In addition, the report mentions that Trump's re-election may boost business confidence and drive more balanced market profit performance. Morgan Stanley continues to be bullish on "high-quality cyclical stocks" and maintains the financial sector as the "most bullish" overweight target.
In other news, the latest data released by the US Treasury Department on Monday showed that the total amount of US treasury bond held by foreign countries rose from US $85034 trillion in August to US $86729 trillion in September, the highest level since records began, and also rose for the fifth consecutive month. China's holdings of US treasury bond in September decreased by $3 billion to $772 billion, and Japan's US treasury bond in September decreased by $6 billion to $1.123 trillion.
In addition, the US dollar index has fallen. The US dollar index, which measures the US dollar against six major currencies, fell 0.38% that day and closed at 106.276 at the end of the foreign exchange market. As of the end of the New York currency market, 1 euro was exchanged for 1.0591 US dollars, higher than the previous trading day's 1.0537 US dollars; 1 pound is exchanged for 1.2672 US dollars, higher than the previous trading day's 1.2612 US dollars.
International oil prices have risen. As of the close of the day, the price of light crude oil futures for December delivery on the New York Mercantile Exchange rose by $2.14, closing at $69.16 per barrel, an increase of 3.19%; The London Brent crude oil futures price for delivery in January 2025 rose by $2.26 to close at $73.30 per barrel, an increase of 3.18%.
Yellow metal has experienced a significant rebound. London gold and COMEX gold both rose over 1%, with London gold once again standing at $2600 per ounce.
Bakkt has blown several times
According to the Financial Times, Trump's social media company is in deep negotiations to acquire Bakkt, a cryptocurrency trading platform under the Intercontinental Exchange, as the company strives to expand beyond online conversations. Two people familiar with the negotiations said that Trump Media and Technology Group are approaching a full share acquisition of Bakkt. It is currently unclear about the valuation under discussion, and both parties are commenting on it.
Affected by this news, the US stock market Bakkt experienced several circuit breakers in late trading, closing up over 160%.
It is understood that Bakkt is 55% controlled by the Intercontinental Exchange and was previously led by Kelly Loveller, former marketing director of the Intercontinental Exchange and former Republican senator. It is worth noting that Bakkt's encrypted custody business will not be included in this transaction.
Nvidia collaborates with Google to tackle quantum computing, while Blackwell chip overheating raises concerns
Most popular technology stocks have risen. AMD rose nearly 16%, Tesla rose over 5%, Texas Instruments rose over 3%, AMD Semiconductor rose nearly 3%, Netflix, Qualcomm, Intel rose over 2%, Google A, Apple, Micron Technology, Oracle rose over 1%, ASML rose over 1%, TSMC, Broadcom, Microsoft, Meta rose slightly, Arm, Cisco, Amazon fell slightly, Nvidia fell over 1%, and Eli Lilly fell over 2%.
Nvidia fell 1.29%, while Google A rose 1.63%. NVIDIA collaborates with Google to explore the cutting-edge technology of quantum computing. According to statements released by both companies on Monday, Google's Quantum AI division will utilize Nvidia's Eos supercomputer to accelerate the design of quantum chip components. By simulating the physical environment required for quantum processors, both parties hope to solve the current technological bottleneck.
Quantum computing aims to use the principles of quantum mechanics to develop computers that far exceed the speed of traditional semiconductor technology. However, this field is still in its early stages, and large-scale commercial applications may take decades. Nvidia stated that its technology will help Google solve the "noise" problem in quantum processors, which is a major challenge that intensifies as chip complexity increases.
In addition, according to a recent report by The Information, Nvidia has requested suppliers to modify the design of its new Blackwell graphics processing unit (GPU) server rack to address overheating issues. This modification occurred in the later stage of the production process, causing concerns from the outside world about possible delays in product delivery. According to reports, Nvidia has not yet notified customers of the final status of the Blackwell server design. A company spokesperson declined to comment on this. It is worth noting that Nvidia has encountered engineering bottlenecks during the development of the Blackwell chip, resulting in a delay of at least one quarter in the product's launch time.
As the world's most valuable chip company, Nvidia is set to release its quarterly financial report on November 20th, which is highly anticipated by the market. The progress of the Blackwell project may become one of the focal points of external discussion. At present, analysts expect its third quarter revenue to increase by 82.8% year-on-year, reaching $33.13 billion, but the growth rate will be the lowest in six quarters. It is expected that Blackwell chips will bring in revenue of $5 billion to $8 billion in the fourth quarter, with some optimistic forecasts reaching $12 billion.
Tesla rose 5.62%. Bloomberg News quoted an insider on November 17 local time to reveal that President elect Trump's team plans to "build a federal framework for fully autonomous vehicle" as one of the priorities of the US Department of Transport. If new regulations can make fully autonomous vehicles possible, it would be a significant benefit for Tesla. Currently, Tesla is planning to deploy cars without steering wheels or pedals on a large scale, but current federal regulations pose significant obstacles to this plan.
Analysts believe that unified federal regulations may accelerate Tesla's FSD (fully autonomous driving) testing, but the main obstacle currently facing Tesla is its FSD driving assistance software that still requires driver supervision. In addition, the technology is still under investigation by US automotive safety agencies due to its involvement in four traffic accidents, including one fatal accident.
Meta rose by 0.06%. Meta may face claims from thousands of German users in a 2021 case involving the leakage of 533 million user privacy data, after losing in the German Federal Court. This lawsuit is related to the large-scale data breach incident in 2021, when user information including phone numbers and email addresses was made public on hacker websites. The German Federal Court pointed out that affected Facebook users only need to prove that their data was leaked, without additional proof of specific damages, in order to apply for compensation. The court also stated that the compensation amount for the loss of control of data alone is expected to be around 100 euros per person.
Meta responded that this ruling does not comply with the case law of the European Court of Justice and expressed confidence in winning again in a lower court, emphasizing that the Facebook system was not hacked and there was no data breach.
Supermicro computers increased by 15.93%. Reuters cited informed sources as saying that Supermicro Computer plans to submit a compliance plan to Nasdaq before Monday to ensure its stock trading eligibility. Previously, the company applied for an extension due to the need for more time to submit its latest quarterly financial report.
In a document submitted to the US Securities and Exchange Commission, Supermicro Computer stated that its special committee has completed an investigation into the preliminary issues raised by former auditor Ernst&Young and expects other related work to be completed soon. In addition, the company still needs time to hire a new accounting firm and prepare the 10-Q form for the first quarter of 2025 after completing the submission of the 2024 annual 10-K form.
Financial stocks fluctuate in price. United Bank of America rose over 1%, while Visa, UBS Group, Travelers Insurance, Deutsche Bank, American International Group, Citigroup, and BlackRock rose slightly. Mizuho Financial closed flat, while Mastercard, Bank of America, Regional Finance, JPMorgan Chase, Morgan Stanley, Wells Fargo, and American Express fell slightly. Goldman Sachs fell nearly 1%, and First Capital Financial fell over 1%.
Goldman Sachs fell 0.94%. Goldman Sachs is in talks with potential partners to spin off its digital asset platform into a new company that specializes in providing services for large financial enterprises to create, trade, and settle financial instruments through blockchain technology. Matthew McDermott, Global Head of Goldman Sachs' Digital Assets Division, stated in an interview that the bank is in negotiations with some market participants regarding these plans to continue enhancing the platform's functionality and developing new business use cases. Matthew said, "The plan to establish a new company is still in its early stages, and the long-term goal is to execute the spin off within the next 12 to 18 months, ultimately subject to regulatory approval
Energy stocks rose across the board. US energy rose by over 10%, Murphy Oil and Brazilian Oil rose by over 2%, Imperial Oil, Western Petroleum, BP, Marathon Oil, Shell, ConocoPhillips, and Duke Energy rose by over 1%, while ExxonMobil, Schlumberger, Chevron, and Apache Oil rose slightly.
Most popular Chinese concept stocks rose, with the Nasdaq China Golden Dragon Index up 1.71%. Bilibili rose over 4%, NIO rose over 4%, Tencent Music, Futu Holdings, and NetEase rose over 3%, Huya and Pinduoduo rose nearly 3%, Miniso and Xiaopeng Motors rose over 2%, Weibo rose nearly 2%, Manbang and Ideal Motors rose over 1%, Baidu and JD.com rose nearly 1%, Alibaba and New Oriental rose slightly, Vipshop fell slightly, iQiyi fell over 2%, and Douyu fell over 3%.