Although the US non-farm payrolls report in February exceeded expectations, the market’s concerns regarding the worsening war in Russia and Ukraine played down the good news of the labor market, and US stocks opened lower on Friday (4th). At the time of writing, the Dow Jones Industrial Average fell more than 400 points or 1.26%, the Nasdaq Composite fell 1.37%, the S&P 500 fell 1.43%, and the Philadelphia Semiconductor Index fell 1.27%.
The US non-farm payrolls surged to 678,000 in February, much higher than the expected 423,000, the largest increase since July last year, and the unemployment rate also fell to 3.8%, slightly better than the expected 3.9%. ) prepares to raise interest rates amid a strong labor market.
In terms of the Russian-Ukrainian war, Ukrainian officials said that news of a fire in Enerhodar, the town where Europe’s largest nuclear power plant (Zaporozhye) is located, has not affected important equipment, but it still arouses the concern of the international community regarding the occurrence of a nuclear disaster, and once once more Raised concerns regarding Russian tactics.
In the bond market, the U.S. 10-year bond yield fell to 1.7430% from 1.843% on Thursday. As investors paid close attention to the situation in Russia and Ukraine, Powell recently supported interest rate hike remarks and economic data, the state yield rate fluctuated sharply, and oil prices rose. Expectations of slowing economic growth and economic growth have also prompted investors to turn to safe-haven assets such as bonds.
International oil prices have soared since the war broke out between Russia and Ukraine as investors worried regarding Russia’s oil production cuts. According to foreign media reports, Japan announced on Friday the release of 7.5 million barrels of strategic oil reserves, following in the footsteps of the United States to help stabilize oil prices. West Texas crude rose 4.86% to 112.90 a barrel by press time DollarBrent crude oil rose 3.96% to 114.83 a barrel Dollar。
As of 22:00 on Friday (4th) Taipei time:
- The Dow Jones Industrial Average fell 424.75 points, or 1.26%, to 33,369.91
- The Nasdaq Composite fell 174.43 points, or 1.29%, to 13,363.51
- The S&P 500 fell 56.27 points, or 1.29%, to 4,307.22
- Feihan fell 37.07 points or 1.11% to 3,302.69 points tentatively
- TSMC ADR fell 1.52% to 107.13 per share Dollar
- 10-year U.S. Treasury yield fell to 1.7430%
- New York Light crude oil rose 4.86% to 112.90 a barrel Dollar
- Brent crude rose 3.96% to 114.83 a barrel Dollar
- Gold rose 0.97% to 1,954.60 an ounce Dollar
- DollarIndex rose to 98.73
Stocks in focus:
Broadcom (AVGO-US) rose 1.75% to 588.70 per share in early trade Dollar
Broadcom’s Q1 fiscal 2022 revenue jumps 16% to $7.71 billionDollaradjusted earnings per share rose 27% to 8.39 Dollarboth better than market expectations of 7.6 billion and 8.23 Dollar.Broadcom forecasts second-quarter revenue of regarding 7.9 billionDollarbetter than market expectations of 7.43 billionDollar。
Marvell(MRVL-US) fell 2.96% to 67.13 per share in early trade Dollar
Chip maker Marvell reports strong fourth-quarter fiscal 2022 earnings, with revenue up 68% to $1.343 billionDollardiluted earnings per share increased by 72.4% to 0.50 per share Dollarboth better than market estimates of 1.32 billion and 0.48 Dollar.The company expects revenue to rise 6% annually to $1.425 billion in the first quarter of fiscal 2023Dollardiluted earnings per share of 0.51 Dollarand both are better than market estimates of 1.38 billion and 0.50 Dollar。
Costco (COST-US) fell 2.42% to 520.14 per share in early trade Dollar
Costco recently announced dazzling second quarter financial results for fiscal 2022, with revenue increasing 16% annually to $51.9 billion in the last quarterDollarbetter than analysts’ estimate of 51.47 billionDollarthe net profit in the last quarter increased from 951 million in the same period last yearDollarCombined EPS 2.14 Dollargrow to 1.3 billionDollaror earnings per share of 2.92 Dollar. The market expects Costco to earn 2.74 per share in the last quarter Dollar。
However, Costco’s adjusted same-store sales growth slowed to 10.6% in February from 10.8 in January. The company’s chief financial officer, Richard Galanti, also mentioned that it is still facing supply chain problems, but will do its best to maintain inventory, reduce costs and avoid price increases.
Today’s key economic data:
- The U.S. non-farm payrolls in February reported 678,000, expected 403,000, the previous value of 467,000
- The U.S. unemployment rate in February was 3.8%, expected 3.9%, the previous value was 4%
- U.S. average hourly wage growth in February was 5.1%, expected 5.8%, and the previous value of 5.7%
- The U.S. labor force participation rate in February was 62.3%, expected to be 62.2%, and the previous value of 62.2%
Wall Street Analysis:
Ipek Ozkardeskaya, senior analyst at Credit Suisse, said that market sentiment is sluggish, European stocks continue to feel the pressure of an escalating war, and major U.S. indexes are still under considerable selling pressure. Investors are unlikely to rush in without taking safe-haven measures.
Lauren Goodwin, an economist and portfolio strategist at New York Life Investments, said that since Fed Chairman Powell has made it clear that he supports a 25 basis point rate hike, the market will favor a Fed rate hike even if the new economic report outperforms expectations. pace.
Kenny Wen, a wealth management strategist at Everbright Securities International in Hong Kong, said the highly uncertain and deteriorating situation in the Russia-Ukraine conflict made investors reduce their exposure over the weekend. A recession hurts corporate profits, and the effects will be lasting.
