28 Dec 2022

• Last night, the three major U.S. stock indexes continued to fluctuate, popular Chinese concept stocks generally rose, and the new energy vehicles and clean energy sectors were the largest decliners. As of the close, the Dow rose 0.11%, the Nasdaq fell 1.38%, and the S&P fell 0.4%. The yield on the 10-year U.S. Treasury bond rose 2.613% to close at 3.849%, a difference of -54 basis points compared to the yield on the two-year Treasury bond. The panic index VIX rose 3.74%, Brent crude oil closed up 0.54%, and spot gold closed up 0.35% at $1,813.71 an ounce. The U.S. dollar index continued to fall from its highs and closed at 104.2.
• In December, the Dallas Fed business activity index was -18.8, weaker than the expected -15 and the previous value of -14.4. In October, the S&P/CS 20 major city house price index in the United States recorded an annual rate of 8.64%, the smallest increase since October 2020. It is expected to be 8.00% and the previous value is 10.43%. According to agency analysis, the U.S. real estate market continued to slump in October as the impact of rising mortgage rates and concerns about the economy unnerved buyers and sellers. The S&P/CS index of home prices in 20 largest cities fell 0.5% from September, the fourth straight monthly decline. The home sales market began to slow earlier this year as the Federal Reserve began raising its benchmark interest rate to ease high inflation. High inflation is caused in part by soaring housing costs. Although the monthly rate of housing prices fell, they were still higher than the level of a year ago. German bund yields rose to levels last seen in 2008.
• Putin issued a decree banning oil supplies to customers subject to Western price caps, which will take effect on February 1 next year and run until July 1, 2023. Russian Foreign Minister Sergei Lavrov said Russia does not intend to launch new initiatives on New START or security guarantees. US President Joe Biden declared a state of emergency in New York State. The emergency was previously created by severe winter storms that began on December 23, 2022 and continued. Total Energy restarted its Port Arthur, Texas, refinery after it was shut down by the winter storm.
• Apple fell 1.39% as it faced a $98 million back tax payment in Japan for duty-free merchandise transactions.
• Amazon fell 2.59%, and has trial-operated Prime Air drone delivery in some parts of the United States.
• Tesla fell 11.41%, the biggest drop in eight months, falling for seven consecutive days to the lowest since August 2020. It is reported that Tesla will implement a production reduction plan in Shanghai in January next year; due to strong demand, Tesla has started Sales of prototypes for demonstration and test drive in North America; on December 26, Tesla China’s 10,000th super charging pile was completed and put into use in Shanghai, marking Tesla China’s official entry into the “10,000-level” super charging pile Internet Age.

Sources from: Investing.com; Reuters.com

Louis Yap

Join me for more Stock Information

Telegram

Malaysia Bursa Channel