Breakfast | Red Sea crisis escalates with joint airstrikes by the UK and US, Bitcoin spot ETF trading volume reaches $4.6 billion.

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Market: Overnight and this morning

US inflation data hit market expectations of a Fed rate cut. The three major US stock indices had mixed performances, with the Nasdaq roughly flat, ending a four-day winning streak. The Dow Jones rose 0.04%, marking a two-day increase. The S&P 500 fell 0.07%.

Most leading tech stocks declined. Tesla fell nearly 2.9% for the third consecutive day. Microsoft initially rose over 2%, reaching a market value of $2.9 trillion, surpassing Apple at one point. It closed up nearly 0.5% for the fourth consecutive day, setting new historical highs for two consecutive days. Apple fell 0.3%, Meta fell 0.2%, and Alphabet fell 0.1%. Amazon rose 0.9% for the fifth consecutive day, setting a new historical high.

The trading volume of the US Bitcoin spot ETF on its first day of listing reached $4.6 billion. Bitcoin briefly surged to $49,000, reaching a three-year high.

Concept stocks related to digital currencies plummeted on the first day of the US Bitcoin spot ETF listing. Coinbase fell 6.6%, Marathon Digital fell 12.6%, and Riot Blockchain fell over 15%.

Chinese concept stocks, which had been declining for several days, rebounded and outperformed the broader market. Canaan fell nearly 0.5%, Ebang fell over 8%. XPeng Motors fell over 1%, NIO fell 0.1%, and Li Auto rose over 2%. Alibaba, Baidu, Pinduoduo, NetEase, and Bilibili rose over 1%, while JD.com rose less than 1%.

What happened to blue-chip stocks and hot stocks

Guo Mingchi: Apple's VisionPro headset initial inventory is 60,000-80,000 units, estimated sales this year are less than 400,000 units

Due to the limited inventory, he believes there will be shortages in the early stages of the launch. With the groundbreaking technological innovation and the number of Apple's core fans and heavy users, it should be easy to sell out after the release.

Apple CEO Tim Cook's salary significantly reduced to $63 million, and it will be $99.4 million in 2022

Tesla raises wages for factory workers across the US, the extent of the increase is unknown, possibly to resist unionization

Tesla: Berlin factory to halt production for two weeks due to the Red Sea crisis

The reason is that the armed conflict in the Red Sea has led to changes in transportation routes, resulting in a shortage of components. The armed conflict in the Red Sea and the related changes in transportation routes between Europe and Asia through the Cape of Good Hope have also affected production at the Gruenheide factory.

Robinhood adds trading of Bitcoin spot ETF

Google cancels charges for cloud service transfers, putting pressure on competitors

For a long time, the cost of switching between cloud service providers has been criticized. Google is taking measures to change this situation. Starting today, the company will waive fees for customers who want to leave its cloud service and use competitor services. This move comes after increased scrutiny of cloud services by global regulators and lawmakers. Media: Disney's animation studio Pixar may lay off up to 20% of its employees this year

Game chat tool developer Discord lays off 17% of its workforce

OpenAI founder Sam Altman discusses artificial intelligence legislation procedures with US House Speaker Johnson

Tencent's major shareholder Prosus holds 2.36 billion shares of Tencent, with a market value of $84.7 billion

South African Naspers' Dutch subsidiary Prosus disclosed that it holds 2.3635 billion shares of Tencent. Prosus also disclosed holdings of 257.5 million shares of Meituan, 79.6 million shares of European food delivery giant DeliveryHero, and 30 million shares of Ctrip Group (09961.HK), among others.

Macro: Taking you around the world

Fed - Mester: It's too early for a rate cut in March, will discuss rate cut when seeing sustained decline in inflation

Fed's Barkin reiterates that he won't prejudge a rate cut in March; Fed's Bullard says he is closer to the median in the dot plot, and the persistent rise in housing inflation has a relatively small impact on the Fed's target.

US December CPI, not seasonally adjusted, records a 3.4% YoY increase, the highest since September 2023

December CPI, not seasonally adjusted, records a 0.3% MoM increase, the highest since September 2023. December core CPI, not seasonally adjusted, records a 3.9% YoY increase, the lowest since May 2021.

Fed rate cut bets for March still over 50%, subsequent data is more crucial

Although today's inflation data is unlikely to prompt the Fed to signal an imminent rate cut, traders have fully priced in expectations of five 25 basis point rate cuts in 2024, and they currently expect the probability of a rate cut in March to still be over 50%.

ECB President Lagarde: Can start rate cuts after confirming inflation path with data

Bitcoin spot ETF approved, bitcoin soars to $49,000

Dexterity Capital says, "A broader range of investors can buy bitcoin in a simple and reliable way." Data provider CF benchmark says, "This ETF is actually a watershed moment that could open the door for more stable funds to flow into this asset class."

Media: UK holds "Cobra emergency meeting" to prepare for military strikes against Houthi militants

UK Prime Minister Sunak approves joint military strikes against Houthi militants, with airstrikes expected to take place as early as tonight local time. US President Biden will issue a statement on the Houthi militant attack. The EU is considering naval operations in the Red Sea region.

Latest media reports indicate that the US and UK have begun airstrikes on Houthi militant targets in Yemen.

Maersk CEO warns that the disruption of the Red Sea shipping lane could last for several months Suez Canal traffic volume down 30% YoY

The head of the Suez Canal Authority in Egypt stated that the traffic volume of ships from January 1st to January 11th decreased by 30% YoY, and revenue decreased by 40% YoY.

Fang Xinghai from China Securities Regulatory Commission: Will further improve the mechanism for overseas listings

Shanghai Headquarters of the People's Bank of China: Strengthen financial support for new technologies, new tracks, and new markets