Investment 16/7/2024

Mainland economic data was worse than market expectations. The Hang Seng Index opened 91 points lower at 18,201 points and then continued its decline. It once fell 346 points to 17,946 points, and fell 277 points or 1.51% for the whole day to 18,015 points; the technology index fell 109 points or 2.89%.  reported 3,672 points. Main board transaction volume was HK$91.1 billion. 

The Hang Seng Index partially covered last Friday's upward gap yesterday (17,864 to 18,020), and the 20-DMA (17,925) is expected to provide support. If it can hold firm, there is still a chance for the market outlook to rise further. The initial resistance is at the 50-DMA (18,349). If it can break through, the previous high of 19,706 points can be seen. 

Inflation in the United States fell further last month, and interest rate futures are expected to further increase the chance of the Federal Reserve cutting interest rates. The decline in the U.S. exchange rate has led to a rebound in the yuan. Hong Kong stocks rebounded from lows by nearly a thousand points last week. As for this week, the market is paying attention to the performance of A-shares after the release of the latest economic data in the mainland, as well as the important meetings to be held in the mainland and whether more policies will be introduced. It is believed that Hong Kong stocks will maintain a range in the short term. 

European stock markets came under pressure, led by luxury stocks, with British, French and German stocks falling 0.85%, 1.19% and 0.84% respectively. The Australian stock market closed up 0.73%, breaking through the 8,000-point mark for the first time. 

Former U.S. President Trump was assassinated and spilled blood. The election situation is now looking higher, which reduces the uncertainty of the November election. U.S. stocks performed well on Monday. After the Dow opened 137 points higher, it once soared 350 points, reaching a high of 40,351 points. The S&P 500 index all broke through the top during the session, with the S&P 500 rising by up to 0.92%, reaching a market high of 5,666 points; the Nasdaq, which is dominated by technology stocks, gained up to 1.32%. 

At the close of the U.S. stock market, the Dow rose 210 points, or 0.53%, to 40,211 points, closing at a record high; the S&P 500 rose 16 points, or 0.28%, to 5,631 points; the Nasdaq rose 74 points, or 0.4%, to 18,472 points. 

The U.S. exchange rate index once rebounded 0.22% to 104.319; the yen fell 0.37% to 158.42 per dollar; the pound retreated 0.23% to $1.2958; the euro rose 0.16% to $1.0925.