Investment 4/3/2024

Hong Kong stocks fell first and then recovered on the first trading day in March. After opening 120 points lower at 16,390 points, the Hang Seng Index fell 190 points to a low of 16,321 points. Later, it received buying support to reverse the decline and rose 78 points or 0.47% to 16,589 points for the whole day. The Technology Index closed at 3,488 points for the whole day, rising  56 points or 1.66%, and the main board turnover was HK$121.8 billion.

 The Hang Seng Index rose by more than a thousand points in February. The 20-DMA (16,202) has just risen above the 50-DMA (16,177), sending a positive golden cross signal. If it rises above the 100-DMA (16,728) in the future, it is expected to test the top of the Hang Seng Index's downward channel ( 17,600), but investors believe that the market may not have a major breakthrough in March. If there is an adjustment in the short term, the 50-DMA is expected to have greater support. 

The market is paying attention to the two sessions of the Mainland this month, whether there will be any stimulus measures to stimulate the economy, and whether corporate debt can be improved. In addition, Chinese-funded companies are releasing performance reports one after another. It is believed that there will be no surprises in the performance of new economy stocks, and China Special Appraisal shares have also risen to a certain extent. Unless the dividends are surprising, it will be difficult to drive the market further upward. On the other hand, the trend of U.S. stocks is also worthy of attention. The Federal Reserve will hold interest rates this month. The market is expected to keep interest rates unchanged, but it is expected to shed some light on the timetable for future interest rate cuts. Amid many uncertainties, Hong Kong stocks are expected to be relatively dull and it is not advisable to rush into the market.

 In the Tokyo stock market on March 1, the Nikkei Stock Average rebounded sharply for the first time in three days, with its closing price rising 744 points (1.90%) from the previous day to 39,910 points. This surpassed the all-time high of 39,239 points set on February 27. 

European stock markets performed well, with reports that the German ruling coalition is preparing an economic stimulus plan of about 7 billion euros. German stocks closed up 0.32%, and British and French stocks rose 0.69% and 0.09% respectively.

 Weak U.S. manufacturing data did not hinder the rise of U.S. stocks on Friday. After opening slightly lower by 6 points, the Dow fell as much as 145 points to a low of 38,850 points. However, it quickly recovered its losses and once rebounded 123 points to a high of 39,120 points; the S&P 500 index once fell. rose 0.86%, reaching a record high of 5,140 points; the Nasdaq also continued to break through the top, rising up to 1.31% to 16,302 points, and maintained an increase of more than 1% at the close, setting a record closing high with the S&P 500. 

At the close of U.S. stocks, the Dow Jones Industrial Average rose 90 points, or 0.23%, to 39,087 points; the S&P Index rose 40 points, or 0.8%, to 5,137 points; and the Nasdaq Composite rose 183 points, or 1.14%, to 16,274 points.

 The U.S. dollar index fell as much as 0.31% to a low of 103.84; the yen had retreated 0.5% to a low of 150.73 per dollar.