Jackson Hole Meeting, Powell without ‘Shocking Remarks’… Technology stocks such as Big Tech rebound [美 증시 & IT]
Digital Daily Issue Date 2023-08-26 09:37:06
[디지털데일리 박기록 기자] On the 25th (local time), as expected, the Jackson Hole speech of the US Fed Chairman Jerome Powell determined the flow of the US stock market.
However, Chairman Powell’s speech on the day still emphasized the need for continued monetary tightening to reach the inflation target, but at the same time emphasized that inflation has passed its peak thanks to efforts so far.
In general, it was evaluated that ‘the content of Powell’s speech was not as strong as expected’, and the three major indexes also ended with an increase. In addition, yields on 10-year U.S. Treasury bonds fell slightly, while yields on 2-year Treasuries slowed.
On this day, the Dow Jones 30 Industrial Average ended at 34,346.90, up 0.73% from the battlefield, and the Standard & Poor’s (S&P) 500 Index ended at 4405.71, up 0.67%. The Nasdaq index, which is centered on technology stocks, also closed the market at 13,590.65, up 0.94%, somewhat recovering from the previous day’s drop.
Chairman Powell is leaving room for an additional rate hike by November this year, and hawkish members of the Fed are emphasizing the need for an additional rate hike, but market participants do not seem to see the possibility highly at present.
“It is the Fed’s job to bring inflation down to its 2% target, and we will do that,” Powell reaffirmed.
“Currently, inflation has fallen from its peak but is still too high, and we are prepared to raise interest rates further if necessary, and plan to keep policy at a limited level until we are certain that inflation will come down,” he said.
In addition, Chairman Powell said, “Inflation peaked at 7% in June 2022, but has decreased to 3.3% as of July this year, which is very good news.” It is being influenced by this big global factor.”
Meanwhile, as the Jackson Hole meeting, which caused concerns by cooling Nvidia’s strong second quarter performance effect, has passed, attention is now on where the market’s attention will go.
As concerns over the real estate crisis from China are growing, US Commerce Secretary Gina Raimondo is scheduled to visit China on the 27th (local time), attracting attention.
Attention is focusing on whether the sharp US-China conflict, such as the US’s restrictions on exports of high-performance AI semiconductors to China and China’s restrictions on the purchase of airplanes by US Boeing Co., will be able to find a new breakthrough.
As the Jackson Hole meeting passed without major shock, technology stocks that are relatively sensitive to interest rates rebounded all at once. Tesla, the leading electric vehicle stock, closed at $238.59, up 3.72%.
However, Nvidia, the semiconductor emperor, fell 2.43%, and AMD (+0.44%), which had recorded a large drop the previous day, Micron Technology (+0.05%), Intel (+2.03%), and Qualcomm (+1.67%) rebounded slightly. did.
Major companies such as Apple (+1.26%), Alphabet (+0.08%), Microsoft (+0.94%), Amazon (+1.08%), and Netflix (+2.24%), as well as Apple (+1.26%), the representative of big tech, also closed on an upward trend. .
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2023-08-26 00:37:06
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