Financial Services, November 13 (Editor: Niu Zhanlin) On Tuesday EST, the three major US stock indices collectively closed down. As investors began to make profits and settle, the “Trump deal” completely cooled down, and Tesla and cryptocurrency concept stocks fell at the same time.

Since the US election on November 5, the three major stock indexes have continued to break record highs, as investors bet that the tax cuts proposed by President-elect Trump and the prospects of easing regulatory policies will boost the stock market.

But investors' optimism began to cool down on Tuesday, after ECB policymakers warned that Trump's imposition of tariffs would hinder global economic growth.

Russell Price, chief economist at Ameriprise Financial, said that the decline in overseas markets and the settlement of profits before inflation data was released have put some pressure on the US stock market. “Since the opening of the market, it has been falling all the way, and investors tend to settle profitably to prevent the stock market from continuing to decline.”

Phillip Wool, head of portfolio management at Rayliant, said: “Questions about Trump's re-imposition of tariffs, fiscal deficits, and upward pressure on the dollar have forced the Federal Reserve to slow down the pace of easing. All of these concerns seem to have aroused a more pronounced reaction among investors today.”

The market's current focus is on Wednesday's consumer price index (CPI) data, as well as later producer price index (PPI) and retail sales data, which may provide clues to the Federal Reserve's future policy path.

In light of strong economic data and the possible inflationary impact of some of Trump's policies, the market has lowered expectations for next year's interest rate cuts.

Minneapolis Federal Reserve Chairman Kashkari said on the same day that the Federal Reserve's monetary policy is “moderately restrictive” and will continue to curb inflation and the economy, but not significantly. “If inflation unexpectedly rises before December, this may cause us to suspend interest rate cuts.”

Market News

At the close, the Dow fell 382.15 points, or 0.86%, to 43910.98 points; the NASDAQ fell 17.36 points, or 0.09%, to 19281.40 points; and the S&P 500 index fell 17.36 points, or 0.29%, to 5983.99 points.

Most ETFs in the US stock market closed down. Biotech Index ETFs fell more than 2%, medical ETFs and optional consumer ETFs each fell nearly 1.5%, global aviation ETFs and utility ETFs each fell 1%, and semiconductor ETFs, banking ETFs, regional bank ETFs, and energy ETFs each fell at least 0.5%.

Most of the 11 sectors of the S&P 500 index closed down. The information technology/technology sector rose 0.45%, the real estate sector fell 1.29%, the energy sector fell 0.46%, the financial sector fell 0.32%, and the optional consumer sector fell 1.1%.

The performance of popular stocks

Most of the big tech stocks rose. Nvidia rose 2.09%, Netflix, Microsoft, and Amazon rose more than 1%, Google A and Meta rose slightly, and Apple closed flat.

Tesla plummeted 6.15%, Canaan Technology fell 7.3%, Coinbase fell 1.6%, and Riot Platforms fell 3.5%.

Tyson Products rose by 6.55%, and its fourth fiscal quarter results exceeded expectations. It is expected that next year's results will be even stronger. The improvement in the chicken business has offset losses in the beef business.

Honeywell rose 3.85% to a record high. Earlier, aggressive investment firm Elliott Management said it already held shares worth more than 5 billion US dollars in Honeywell.

Popular Chinese securities generally fell, and the Nasdaq China Golden Dragon Index closed down 4.45%. Xiaopeng Motors fell more than 10%, NIO fell more than 9%, JD, Bilibili, and Ideal Auto fell more than 7%, iQiyi fell more than 4%, Baidu fell nearly 4%, and Alibaba and New Oriental fell more than 3%.

Company news

[Waymo opens driverless taxi service to all users in Los Angeles]

On Tuesday local time, Waymo, an driverless taxi (Robotaxi) company owned by Alphabet, announced that its taxi service Waymo One is now open to all users in Los Angeles. This is the company's largest expansion to date, and it also marks a phase of rapid growth for the business. The company said that since it began providing driverless taxi services to the public in Los Angeles in March of this year, nearly 0.3 million people have joined its reservation list, which shows strong demand for the service.

[Qualcomm CEO: Global chip shortage will not be repeated despite rising demand]

Qualcomm CEO Cristiano Amon said the AI boom will not repeat the global chip shortage during the COVID-19 pandemic, despite rising demand for AI-enabled smartphones. “Everyone stayed at home during the pandemic and started buying consumer electronics,” he said at an online summit in Lisbon on Tuesday. “It's good for the business, but the supply chain can't handle it.” He added that since then, “significant” investments have been made to increase chip production capacity. “Demand and supply in the semiconductor sector are now at 100% balance,” he said. Qualcomm, the world's largest supplier of smartphone processors, released an optimistic sales outlook for the current quarter last week. Amon said demand for smartphone processors will continue to grow as users upgrade to phones with more advanced technology and artificial intelligence capabilities.

[Volkswagen will invest up to 5.8 billion dollars in Rivian and its joint venture]

Volkswagen will invest up to $5.8 billion, previously $5 billion, in Rivian and its joint venture. According to the news, Volkswagen and Rivian announced that they will establish a joint venture to develop software and electronic products. Volkswagen will invest 5.8 billion US dollars in the joint venture and hold 50% of the shares.

[Apple will launch AI-based smart home devices in March as soon as possible]

According to people familiar with the matter, Apple will launch smart home devices based on artificial intelligence (AI) as soon as March. The device will have FaceTime, Siri, and Apple Intelligence (Apple Intelligence) functions. The device will connect to a camera, doorbell, and run Apple's series of apps. The company hopes to compete with Amazon and Google in the smart home field.