According to the Zhitong Finance APP, the three major indices rose on Monday, and traders are evaluating the impact of Biden's withdrawal and paying attention to financial reports and Fed policy prospects.

At the close, the Dow Jones rose 127.91 points, or 0.32%, to 40,415.44; Nasdaq rose 280.63 points, or 1.58%, to 18,007.57; and the S&P 500 index rose 59.41 points, or 1.08%, to 5,564.41. Nvidia (NVDA.US) rose 4.7%, while Tesla (TSLA.US) rose more than 5%. The Nasdaq Golden Dragon Index closed up 2.76%, with Xpeng (XPEV.US) rising more than 6% and Alibaba (BABA.US) rising nearly 2%.

The German DAX 30 index closed up 252.36 points, or 1.39%, at 18,417.95; the UK's FTSE 100 index rose 48.88 points, or 0.60%, to 8,204.60; the French CAC 40 index rose 87.50 points, or 1.16%, to 7,622.02; the Euro Stoxx 50 index rose 69.41 points, or 1.44%, to 4,896.65; the Spain IBEX35 index rose 57.32 points, or 0.52%, to 11,144.82; and the Italian FTSE MIB index rose 392.16 points, or 1.15%, to 34,608.00.

The Nikkei 225 index fell 1.16%, the Indonesia Jakarta Composite Index rose 0.23%, and the Vietnam VN30 index fell 0.23%.

Spot gold was reported at $2,396.52 per ounce, down more than $4 during the day.

Bitcoin fell 0.64% to $67,744.8 per coin; Ether fell more than 2.3% to $3,452.29 per coin.

The August delivery of West Texas Intermediate (WTI) crude oil futures on the New York Mercantile Exchange fell about 0.44% or 0.35 US dollars to close at $79.78 per barrel.

London metals fell, with copper down 0.63%, aluminum down 1.66%, zinc down 1.47%, and nickel down 0.37%.

Macro news

Foreign media: The Fed's statement may remove the wording of high inflation. According to foreign media analysis, the Fed's policy meeting next week may remove the wording of high inflation. If so, this would be the strongest signal to date that the Fed plans to cut interest rates as early as September and launch its easing cycle. Adjusting the description of inflation from high to more moderate words may also lead the Fed to revise another key sentence in its current policy statement: the Fed will not cut interest rates until officials "are more confident in the sustained improvement in the inflation rate." FOMC voting member President Bostic indirectly suggested at the end of June that if the inflation rate came down to 2.5% or below, it could be used as an indicator to consider adjusting the inflation description. Many economists believe that the June PCE data released on July 26 will fall to or below this threshold.

Wells Fargo: The Fed is expected to open the door to rate cuts this month. Despite increasing political turmoil in the United States, investors still believe that US interest rates will fall this year. Data from the Chicago Mercantile Exchange showed that the probability that the Fed would stand still next week and cut interest rates on September 18th were both over 90%, and the probability of three rate cuts this year was close to 50%. This was almost unchanged before Biden withdrew from the campaign. Wells Fargo economists said in a report that they expect the Fed to maintain its policy unchanged this month and open the door to rate cuts. They added that the Fed's past record shows that it will not shy away from cutting interest rates at the last meeting before the election.

CBOE launches new tool to help traders hedge against stock market volatility. The Chicago Board Options Exchange (CBOE) hopes to provide traders with another way to hedge against U.S. stock market volatility. The exchange already has highly watched volatility index (VIX) options and futures and is expected to begin trading improved CBOE S&P 500 Variance Futures on September 23, subject to regulatory review. CBOE said the contracts would allow traders to hedge the actual volatility of the S&P 500 Index (calculated based on daily trading ranges), which is different from the existing VIX contracts that reflect expectations of future volatility. CBOE first launched variance futures in 2004. The company said in a statement that it has redesigned these contracts more directly and with other adjustments based on feedback from market participants.

Two more opponents dropped out of Harris's party, as Michigan and Illinois governors support her candidacy for president. JB Pritzker, governor of Illinois state, and Gretchen Whitmer, governor of Michigan, endorsed Harris's presidential campaign, ending speculation that they might challenge Harris for the nomination. After President Biden dropped out of the race last Sunday, California Governor Newsom, Maryland Governor Wes Moore, Pennsylvania Governor Josh Shapiro, North Carolina Governor Roy Cooper, and Kentucky Governor Andy Beshear all expressed support for Harris. These people are also considered potential running mates for Harris.

[Individual stock news]

Delta Air Lines (DAL.US) is expected to cancel more flights this week as the impact of IT malfunctions continues. Delta Air Lines is expected to cancel more flights this week as the company tries to recover from a severe technical failure. As of Monday afternoon, Delta Air Lines has canceled more than 800 flights, with the total number of cancelled flights since the fault occurred last Friday exceeding 4,600. Delta Air Lines said it is working "day and night" to restore operations, saying that more than half of its global IT systems rely on Microsoft's Windows operating system and are affected by software failures. Ed Bastian, CEO of Delta Air Lines, said in a video message sent to employees on Monday that it may take a few days to get through the incident. In contrast, most other U.S. airlines returned to normal operations over the weekend. Delta Air Lines' performance announcement earlier this month fell short of expectations, leading to a sharp drop in its share price.

Microsoft's (MSFT.US) technical failure could cause global losses of over $1 billion. According to U.S. media reports on the 21st, Patrick Anderson, CEO of U.S. research firm Anderson Economic Group, estimated that the economic losses caused by Microsoft's technical failure are likely to exceed $1 billion. However, the report said it is not clear whether CrowdStrike will bear the cost of the losses. Although CrowdStrike has apologized, it has not responded to inquiries from U.S. media about whether affected customers will be compensated. Some analysts point out that there may be exemptions in the agreements between CrowdStrike and its customers that allow it to escape compensation obligations.

Musk: Tesla (TSLA.US) will produce a small number of humanoid robots for internal use next year. Elon Musk, CEO of Tesla, announced on Monday that the company will produce a small number of humanoid robots for internal use next year. A few months ago, he announced the launch of a humanoid robot in 2024. Musk said the company will achieve mass production of robots by 2026 and "hope" to provide them to other companies. In April of this year, Musk said that the Tesla robot, called Optimus, would be able to perform tasks at the factory by the end of this year, and could be available for sale as early as the end of 2025. Musk has repeatedly failed to deliver on his bold promises to Wall Street, such as in 2019 when he told investors that Tesla would operate a "robotaxi" autonomous car network before 2020, but the release of Robotaxi has been delayed until October 2024.

Dubai Airlines said its expansion plans were hindered by Boeing's (BA.US) delayed delivery of planes. Budget airline Dubai Airlines' fleet expansion plan has been hampered by delayed delivery of Boeing (BA.N) aircraft. The airline says Boeing is unlikely to deliver the 14 737 MAX aircraft originally scheduled for delivery this year due to modifications to the delivery schedule. It is reported that Dubai Airlines has ordered more than 125 737 MAX planes to be delivered over the next decade. Dubai Airlines urged the U.S. manufacturer to fulfill its delivery obligations and said it is exploring options to minimize the impact.

Google (GOOG.US, GOOGL.US) is developing a high-precision AI-enhanced weather simulator. A new AI-enhanced simulator can achieve the accuracy of traditional weather forecasts, as well as infer the degree to which climate change causes atmospheric warming. The research team led by Google said the simulator could drive the development of weather and climate modeling tools that require only a small fraction of the currently required computing power. The research was published in the journal Nature on Monday.

Bank review:

Morgan Stanley: lowers CrowdStrike's (CRWD.US) target price from $422 to $396.