According to a report from Financial Associated Press on January 7 (Editor: Niu Zhanlin), the three major US stock indexes closed mixed on Monday, with a rebound in technology stocks boosting the market, and President-elect Trump denied plans to narrow the scope of tariffs.

With Foxconn reporting quarterly revenue that exceeded expectations and set a new historical high, along with a series of bullish signals from the Consumer Electronics Show (CES), chip stocks emerged as one of the biggest winners of the day.

CFRA Research Chief Investment Strategist Sam Stovall indicated that the market is currently quite bullish on technology stocks, however, given the high valuations, interest rate outlook, potential adjustments in performance, and the new president taking office, volatility in the US stock market will likely increase this year.

Michael Green, portfolio manager at Simplify Asset Management, stated: "We seem to be back where we were last year, with the stock market's gains mainly concentrated in large technology stocks." He added that funding from retirement plans is helping to drive up the stock market.401(k)Funding from retirement plans is helping to boost the stock market.

Federal Reserve Governor Cook stated that, given the strong labor market and persistent inflationary pressures, policymakers can act more cautiously regarding interest rate cuts.

A report from The Washington Post on Monday also boosted market sentiment, stating that Trump's tariff policy would not be as widely applicable as initially feared, only covering key imported commodities. However, Trump later went on to deny this.

In the shortened trading week, investors remain focused on the Federal Reserve's interest rate policy outlook, maintaining cautious attitudes regarding its possible impacts. Additionally, the New York Stock Exchange will be closed on Thursday to mourn the passing of former President Jimmy Carter.

Traders are preparing for the non-farm payroll report set to be released on Friday, which is expected to show that employers have slowed hiring at the year's end, yet the labor market remains healthy despite the cooling. This data might not change the Federal Reserve's current stance, which is to slow down interest rate cuts amid robust economic conditions and gradually declining inflation.

Market Dynamics

At the close, the Dow fell by 25.57 points, a decrease of 0.06%, closing at 42,706.56 points; the Nasdaq rose by 243.30 points, an increase of 1.24%, closing at 19,864.98 points; the S&P 500 Index rose by 32.91 points, an increase of 0.55%, closing at 5,975.38 points.

The U.S. stock Industry ETFs generally rose, with the semiconductor ETF up by 3.32%, the global technology stock index ETF up by 1.79%, the technology industry ETF up by 1.27%, while the financial sector ETF closed down by 0.31%.

Among the 11 S&P 500 Index sectors, 7 closed lower, the Communications Services sector and the Information Technology sector rose by 2.13% and 1.44% respectively, the Financial sector fell by 0.42%, the Medical Care sector remained flat, and the Real Estate sector decreased by 1.4%.

Performance of Popular Stocks

Large technology stocks generally rose, with NVIDIA up 3.4%, Meta up 4.2%, Google A up 2.65%, Amazon up 1.53%, Microsoft up 1.06%, Apple up 0.67%, and Tesla up 0.15%.

Chip stocks strengthened, with Micron Technology rising 10.45%, Super Micro Computer up 9.36%, ASML ADR up 7.58%, STMicroelectronics ADR up 7.33%, and AMD rising over 3.3%.

Arbe Robotics rose over 50% after announcing a collaboration with NVIDIA, and will showcase its 'revolutionary ultra-high-definition Radar' at this week's Consumer Electronics Show.

Bank stocks collectively rose, with Morgan Stanley up over 2%, Citigroup up 2.5%, and Bank of America up 1.32%. Federal Reserve Vice Chair for Supervision Michael Barr abruptly announced his early resignation on Monday; Barr had sought to impose a series of strict regulations on the largest banks in the USA.

The Nasdaq China Golden Dragon Index closed down 1.16%, with most China Concept Stocks declining. Tencent ADR fell nearly 8%, MINISO dropped over 12%, Kingsoft Cloud fell over 5%, Li Auto dropped over 3%, while iQIYI and NIO rose over 1%, and PDD Holdings rose over 2%.

Company news

[Qualcomm launches new AI chip with PC prices starting at $600]

On local time Monday, at the Consumer Electronics Show (CES) held in Las Vegas, Qualcomm announced the release of its new AI chip, Snapdragon X, designed to provide powerful computing capabilities for personal computers (PC) to run the latest AI software, allowing more users to access AI-enabled PC experiences at a lower cost. The Snapdragon X is manufactured using 4nm process technology and is equipped with Qualcomm's Oryon CPU, featuring 8 cores and a maximum clock speed of up to 3GHz, delivering strong computing performance for the next generation of PCs. Additionally, PC manufacturers including Acer, ASUS, Dell Technologies, and LENOVO GROUP will adopt this AI chip, and PCs featuring Snapdragon X are expected to retail for as low as $600, with products anticipated to launch in early 2025.

[MicroStrategy has purchased Bitcoin for nine consecutive weeks, with total holdings amounting to approximately 44.3 billion USD]

MicroStrategy Inc. has bought 0.101 billion USD of Bitcoin, previously announcing plans to purchase more Cryptos using perpetual preferred stock, common stock, and debt. This enterprise Software company based in Tysons Corner, Virginia has been buying Bitcoin for nine consecutive weeks, and its co-founder and Director Michael Saylor aims to advance its Global Strategy to Hold Bitcoin. The company holds approximately 44.3 billion USD in Bitcoin. According to filings with the USA Securities and Exchange Commission, MicroStrategy purchased 1,070 Bitcoins at an average price of about 94,000 USD on December 30 and 31. The company stated on Friday that it plans to raise up to 2 billion USD in the first quarter through the issuance of one or more perpetual preferred stock. The preferred stock issuance is part of a capital plan to raise 42 billion USD through public stock offerings and convertible bond issuances until 2027.

[Intel's first Intel 18A process chip is unveiled, and the Panther Lake processor is confirmed for release in the second half of the year]

During Intel's CES 2025 presentation on January 6, Intel's interim co-CEO Michelle Johnston announced that the first Intel 18A process chip—the Intel Panther Lake processor—will be released in the second half of 2025. Johnston also showcased samples of the Panther Lake chip and stated that the chip is already in testing, expressing her satisfaction with 18A. Johnston announced that the Intel 18A process will be 'released later this year.' She stated that 'Intel will continue to enhance the AI PC product lineup in 2025 and beyond, providing customers with leading Intel 18A product samples and ramping up production in the second half of 2025.'

[AMD releases the Ryzen 9 9950X3D / 9900X3D processors]

During the CES 2025 exhibition, AMD held a press conference to officially launch two flagship Ryzen 9000 series X3D processors: the Ryzen 9 9950X3D with 16 cores and 32 threads, and the Ryzen 9 9900X3D with 12 cores and 24 threads. Both use the Zen 5 architecture and AMD's X3D technology, equipped with 128MB of L3 cache, aiming to become the strongest CPU in gaming and creative fields.