Market analysis on May 20

The US stock NASDAQ index hit a record high last night, while the Dow Jones index fell from a record high, affected by the 4.5% drop in the constituent stock J.P. Morgan. Chip stocks performed well, with the index rising more than 2%, with Nvidia and Micron rising 2.5% and 3%, respectively. Microsoft's stock price rebounded to a new high in more than a month, while Google's stock price hit a record high for four consecutive days.

In the field of artificial intelligence, Microsoft's Copilot will be fully integrated into Windows 11 and is expected to support GPT 4o soon. At the same time, Dell introduced a new AI computer equipped with Qualcomm chips. Nvidia said that cooperation with Dell is essential to expand AI technology. On the other hand, Samsung's HBM3E memory faced challenges due to failure to pass Nvidia's testing and TSMC's approval process.

The Federal Reserve official's statement shows that the April CPI data should be taken with caution and that the data for a single month should not be overinterpreted. US Treasury yields rose for three consecutive days, and the US dollar index rebounded at an accelerated intraday pace, recovering from a five-week low.

In the commodity market, crude oil ended three consecutive days of upward momentum and retreated from the high level of the month. Gold and copper prices in New York hit record closing highs for two consecutive days, while silver prices hit 11-year highs for four consecutive days. In the cryptocurrency market, the price of Bitcoin broke through the $70,000 mark, while Ethereum rose by nearly 20% in the intraday period.

For the Chinese market, the China Securities Index fell by more than 1%, ending three consecutive days of upward trend. Ideal Auto fell nearly 13% after the earnings report was released, Haidilao fell by more than 6% the day after listing, and NIO's stock price also fell by more than 1%. On the other hand, Polar Krypton's shares rose by more than 4%. The offshore RMB exchange rate against the US dollar fell by more than 100 points during the intraday period, falling below the 7.24 mark. In the A-share and H-share markets, precious metals stocks exploded across the board, while real estate stocks retreated after rising.