NVIDIA ignites the market, multiple indices in the US, Japan, and Europe hit record highs, and the US dollar falls for the first time this year | Overseas Major Asset Weekly Report

After the first week following the Spring Festival in 2024, chip stocks led by NVIDIA received a boost, coupled with signs of economic recovery in the Eurozone, major stock markets such as the US, Europe, and Japan all performed well. The CAC40 in France and the Nikkei 225 index in Japan both hit historic highs, while the SPDR S&P 500 and the Dow Jones Industrial Average also reached new intraday highs.

Brent crude oil saw its first weekly decline since February, gold edged up by 1%, London copper rose by over 0.9%, and London aluminum fell by nearly 2%. The US Dollar Index saw its first weekly decline in 2024.

In related cross-border SPDR S&P 500/LOF funds domestically, the Nikkei SPDR S&P 500 surged by 10.91%, global chip LOF rose by 6.89%, and other sectors such as biotechnology and oil and gas themes in the SPDR S&P 500 also saw gains. The French stock market-related SPDR S&P 500 that hit a new high rose by 4.16%.

In terms of the stock market:

• NVIDIA's better-than-expected financial report supported the continued rise of US stocks. Within the first eight weeks of 2024, US stocks have risen for six weeks, with only the first week of the new year and last week seeing declines. This week, the SPDR S&P 500 rose by 1.66%, the Nasdaq rose by 1.4%, and the Dow Jones rose by 1.3%. Both the SPDR S&P 500 and the Dow Jones hit new intraday highs this week.
• NVIDIA's performance drove the surge in chip stocks, boosting the Japanese stock market as well. On Thursday, the Nikkei 225 index closed above the historical high point of the "bubble period," rising by about 17% year-to-date.
• European stocks overall trended higher, with France releasing PMI data this week that far exceeded expectations, indicating an "economy nearing recovery." The CAC40 index in France rose by 2.56% this week, hitting a historic high. The Eurozone and German stock indices followed suit, with the STOXX 600 index hitting consecutive closing highs for two days.

In the bond market:

• Ahead of heavyweight economic data releases such as PCE and GDP next week, the falling US Treasury bond prices rebounded, leading to a drop in yields. The benchmark 10-year US Treasury yield, after hitting new highs for over two months, fell below 4.30%, dropping by 10 basis points from its peak due to Friday's decline, ending the week with a 4 basis point decrease.

Regarding commodities:

• International crude oil witnessed a dramatic turnaround, hitting a new high for over three months on Thursday before sharply falling. US oil closed at a two-week low, while Brent crude oil fell by 3.39%, reaching a new low for over a week, reversing the upward trend of recent weeks and marking its first weekly decline since February.
• Gold rebounded to a two-week high, closing at $2045.8 per ounce.
• Among the base metals, London copper, which led the gains last week with nearly a 4% increase, rose by over 0.9%, while London aluminum, which had stopped a two-week decline last week, fell by nearly 2%.

Foreign Exchange:

• The US Dollar Index posted its first weekly decline since the beginning of 2024, with the index standing at 103.97 as of February 23rd, marking a decrease of approximately 0.3% for the week.
• Among non-US currencies, the Euro rose by 0.4% against the US Dollar, while the Japanese Yen fell by 0.22% against the US Dollar.