China Central Bank Cuts Rates to Boost Economy Amid Tariff Threat
Express News | Reported Earlier, People's Bank of China Reserve Requirement Ratio 9.00% Vs. 9.50% Prior
Asia Markets Mostly Rise on US-China Trade Talk Optimism; India Dips Amid India-Pak Tensions
Despite the tariff disputes, should one still stick to U.S. stocks? Morgan Stanley provides five major investment recommendations.
① Should one choose Large Cap stocks or Small Cap stocks? Should one choose industrial stocks or Consumer stocks? Should one still remain committed to U.S. stocks? ② Morgan Stanley U.S. stock strategist Wilson offers five investment recommendations to investors to address Global trade risks.
A structural interest rate cut is still a rate cut! The central bank officially announces the first comprehensive reduction in the structural MMF policy tool interest rate, saving more than 15 billion yuan in bank funding costs each year.
① The central bank announced a 0.25 percentage point reduction in the rate of structured MMF monetary policy tools. Industry insiders stated that structural interest rate cuts are also interest rate cuts, which help strengthen the policy incentives for commercial Banks. ② The central bank proposed to establish 500 billion yuan for re-loaning to service Consumer and Retirement, increase the re-loaning quota for Technology innovation and technological transformation, and increase the re-loaning quota for supporting agriculture and small businesses, guiding Financial Institutions to accelerate loan disbursement in related fields.
After Buffett "hands over the baton", Berkshire has made substantial bottom-fishing purchases, while retail investors gamble on the enduring faith in the "stock god".
On Monday, retail investors invested more than 24 million dollars in Berkshire Hathaway Class B Stocks.
China Lowers Rates and Makes Bank Lending Easier in Response to Tariffs
Goldman Sachs outlook for the May Federal Reserve meeting: the threshold for interest rate cuts is higher than in 2019, and it is necessary to wait for employment and other hard data to weaken.
Analysts including Jan Hatzius from Goldman Sachs have stated that inflation and inflation expectations based on surveys are currently much higher, and decision-makers need to see more compelling evidence of an economic slowdown before taking action. The strongest argument for interest rate cuts would be if Federal Reserve officials believe that data indicates the unemployment rate may continue to rise, which means that other signs such as rising unemployment, weak wage growth, and companies becoming cautious or weak demand growth need to be observed.
The central bank: Starting from May 15, the reserve requirement ratio for Financial Institutions will be lowered by 0.5 percentage points.
The People's Bank of China has decided to lower the reserve requirement ratio for Financial Institutions by 0.5 percentage points (excluding Financial Institutions that have already implemented a 5% reserve requirement ratio) starting from May 15, 2025, and to lower the reserve requirement ratio for Autos financing companies and financial leasing companies by 5 percentage points.
Express News | China's Official: Will Lower Interest Rates on Structural Policy Tools by 25 Bps; Guide Commercial Banks to Lower Deposit Rates; To Help A-Share Listed Companies Affected by Tariffs to Cope With Difficulties
Express News | In Overnight Trading, U.S.-Listed Chinese Stocks and ETFs Surge After China's Official Announces Series of Policies; DUO Surges 17%, BEKE Rises 4%; Alibaba, JD and Bilibili Rise 2%, YINN Up 4%, CWEB Rises 3%
Direct coverage of the Earnings Conference for the Siasun Robot&Automation Industry: The localization rate of the supply chain is accelerating, while the industrial sector still faces fierce competition.
① Many companies participating in the performance briefing stated that currently, the core or most supply chain links have been localized, while a small number of links that require imports are actively planning localization solutions; ② From the perspective of the overall Siasun Robot&Automation Industry, the competition in the industrial robot industry is fierce, and in 2024, a situation of "growth in quantity without growth in revenue, and growth in revenue without growth in profit" may occur.
The A-share International Board under ANT GROUP CO., LTD. may launch an IPO.
① After the Listing As a Whole of ANT GROUP CO., LTD. was put on hold, ANT International, registered in Singapore, may consider a separate listing in Hong Kong. Discussions with relevant authorities regarding this possibility are currently underway. ② Recently, ANT International also issued a letter to all employees, requiring cost control and efficiency improvements. On March 19, 2024, ANT International will be spun off from ANT GROUP CO., LTD. to operate independently in the market. One significant meaning of the spin-off from ANT GROUP CO., LTD. is the ability to independently finance and bear profits and losses.
Express News | President Trump Says China Wants To Negotiate And We Will Meet At The Right Time
Asia Markets Mixed, Europe Slips, Gold Nears $3,400 Again - Global Markets Today While US Slept
JPMorgan traders "draw the line": U.S. stocks first break 6000, then hit a new low!
JPMorgan expects that, driven by factors such as the activation of CTA strategy and accelerated Share Buybacks, the S&P 500 Index will first challenge the 6000-point mark. However, afterwards, if investors hold a pessimistic view on the mid-term outlook under high tariffs, the market may retest low levels. JPMorgan agrees with the current widespread view of an economic recession and anticipates a significant decline in hard data such as non-farm employment and retail sales in the next 1-2 months.
Express News | Reported Earlier, China Caixin Services Purchasing Managers Index For April 50.7 Vs. 51.7 Est.; 51.9 Prior
China Service Growth Hits 7-month Low as Trade Disruptions Weighs on New Business Orders
More than 60% of A-share vehicle companies achieved growth in net income in the first quarter, with policy dividends and technological breakthroughs being the driving forces for this growth.
① Among the 16 A-share listed automobile companies, 10 companies achieved year-on-year growth in net income attributable to the parent company in the first quarter of 2025, accounting for 62.5%. ② BYD led with a growth rate of 100.38%, SAIC Group's net income increased by 11.40% year-on-year, and Chongqing Changan Automobile's net income attributable to the parent company surged by 601.31% year-on-year.
After ongoing fluctuations, the market may be nearing a directional choice, with the AI, Siasun Robot&Automation, and other Technology growth sectors likely to rebound.
Looking back at the market situation before the festival, the market has been in a state of fluctuating consolidation, and the atmosphere of market observation remains quite strong.