Breakfast | Fed officials have different opinions on whether to pause rate hikes in June, Nvidia sparks AI concept stock frenzy.

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Market Overview

Fitch puts US rating on negative watchlist, may downgrade, Nasdaq futures give up gains

Fitch has put the US AAA rating on the negative watchlist. This means that the US rating may be downgraded. Nasdaq futures fell 0.3%.

Debt negotiation panic causes Dow to fall for four consecutive days, Chinese concept index hits six-month low

The market is filled with tension over the debt ceiling negotiations. US stocks opened lower across the board, with the S&P falling for two consecutive days and the Dow falling for four consecutive days. JD.com fell more than 3%, Alibaba fell 2%, Bilibili fell 4%, and NIO fell more than 9%.

Nvidia's performance triggers a nearly $300 billion increase in the market value of AI stocks

Stocks related to artificial intelligence soared in after-hours trading on Wednesday, with a market value increase of nearly $300 billion. Boosted by Nvidia's strong after-hours rise of nearly 30%, Nasdaq futures rose 1.6% in early trading.

Top Stocks

Nvidia's Q1 performance is excellent, and its stock price soars to a new high

Nvidia's data center business, which includes AI chips, achieved record-high revenue in the first quarter; second-quarter revenue guidance is expected to increase rather than decrease, and executives predict that this quarter's revenue will exceed the company's historical high by more than 30%. The company plans to significantly increase its supply in the second half of the year. The stock price rose nearly 30% after hours, reaching a new high, and the market value is expected to exceed $1 trillion. The stock price has risen 109% since 2023.

New skills for iOS 17 to be unveiled next month: Lock screen iPhone turns into a smart display

Media reports that Apple's Worldwide Developers Conference (WWDC) next month will showcase various changes to iOS 17, such as: the iPhone will "transform" into a smart display, showing calendar appointments, weather, and notifications after being locked, and will enhance and improve the wallet and location applications. Meta launches a round of layoffs, about 6,000 positions are cut

This round of layoffs has reduced the number of Meta employees to the level of mid-2021.

iQiyi CEO: The company is exploring a secondary listing in Hong Kong

iQiyi CEO Gong Yu did not disclose a detailed timetable for the secondary listing.

iQiyi rumored to cut 50% of its workforce

iQiyi responded: Regarding personnel changes and other untrue information, it has seriously affected the company and executives' image, and the company's legal department has intervened in the processing.

Analysis of Xpeng's Q1 performance: losing money on every car sold, gross profit margin turns negative for 3 years

Xpeng, whose sales, revenue, and profits are all declining, is far from turning the tide. In the first quarter, operating income was 4.03 billion yuan, a year-on-year decrease of 45.9%; operating losses continued to expand to 2.34 billion yuan, a year-on-year increase of 37.4%; gross profit margin dropped sharply to 1.7%, compared with 12.22% in the same period last year.

Xiaomi conference call: High-end results are showing, AI development needs to be deeply integrated with business

Xiaomi pointed out that the progress of car-making is good, and it will still be listed in the first half of next year according to the original plan, which may be slightly ahead of schedule. The development of AI large models should be deeply integrated with business to make products and services more intelligent, and will not be like Open AI to make general large models. The determination to invest in self-developed chips will not waver.

Luxury stock price collapse makes analysts begin to calm down: "record-breaking profit expectations in European stocks" are not sustainable

Morgan Stanley believes that from the macro fundamentals of the European economy, the situation where European companies' earnings per share (EPS) exceeded expectations is unlikely to reappear, and the future prospects for European corporate profits are pessimistic.

WeChat public platform: Commercial cooperation and marketing content of public accounts should be published through TENCENT's official advertising platform after June 30th Public account operators and third-party commercial cooperation forms to promote goods or services, such as commercial cooperation marketing content with additional shopping links and other purchase methods, should be published through the TENCENT official advertising platform after June 30. Otherwise, the content and account will be restricted.

Macro and Strategy

Fed minutes: Pause in rate hikes in June with dissent, uncertain impact on banking, future decisions to rely more on data

At the meeting earlier this month, some participants expected that the slowdown in inflation would continue to be too slow to accept, and therefore believed that further monetary tightening might be needed in the future. Many people believe that if economic development meets their expectations, there may be no need to tighten further. Some people are worried that the failure to raise the debt ceiling in a timely manner will hit the economy. Almost all believe that the downside risks to the economy have increased.

What's next for the US economy? This is what top CEOs think

Tamara Lundgren, CEO of Schnitzer Steel, said it's rare to see a situation where high inflation, tightening credit conditions, and central bank efforts to slow economic growth coexist.

Ray Dalio: The world will be completely different in 5 years

Debt issues, internal politics, external geopolitics, natural behavior, and technological changes that are changing the way we think, and the resulting consequences, will make the world a completely different place in 5 years.

Zhang Yiming establishes a personal investment fund in Hong Kong

Zhang Yiming, the founder of ByteDance, has established a personal investment fund in Hong Kong called Cool River Venture. Insiders revealed that the fund's main investment direction is in the technology-related industry.