Reported about 1 year ago
One of the key factors that will affect the timing of the Federal Reserve interest rate cut is whether the US labor market cools down; recent economic data shows a slowdown in US economic growth and a decline in the inflation index, providing space for the Federal Reserve to cut interest rates. Despite the rise in Nasdaq and S&P 500 before the critical US inflation report, Micron's financial report caused a sharp decline in semiconductor stocks, making investors cautious about the US economic and inflation outlook. The market expects the Federal Reserve to begin cutting interest rates later this year, but the extent and speed of the cuts remain uncertain. The slowdown in US economic growth and the decline in inflation provide room for the Federal Reserve to cut rates over the next two years, with labor market conditions being another key variable to watch. With large-cap technology stocks expected to resume their upward trend in the third quarter as the sell-off pressure from the end of the quarter has eased, US stocks are expected to continue in an upward bias. The US stock index futures (excluding Dow futures) launched by the Taiwan Futures Exchange hit new highs in mid-June, corrected near the 10-day moving average before rebounding, pushing back to the previous highs. The bullish pattern of the three major index futures remains strong. The Dow futures have also followed this bullish trend, establishing short, medium, and long-term bullish patterns, but close monitoring of economic data and the effects after the first US presidential debate are still needed. (Analysis provided by Yuanta Futures analyst Jiang Zhongkang, compiled by Huang Yanhong)
Source: YAHOO