Global News | U.S. stock market's three major indices fluctuate, Google's parent company ALPHABET's Q4 operating profit falls short of expectations

【U.S. Stock Indices】

On February 4th, Wednesday, U.S. major stock indices fluctuated. The S&P 500 fell 0.51% to 6,882.72; the Dow Jones rose 0.53% to 49,501.30; the Nasdaq dropped 1.51% to 22,904.58.

【U.S. Bonds】

On February 4th, the benchmark 10-year U.S. Treasury yield was 4.29%, and the 2-year Treasury yield, most sensitive to Federal Reserve policy rates, was 3.57%.

【Popular U.S. Stocks】

Among popular stocks, Nvidia fell 3.41%, Apple rose 2.60%, Google Class C dropped 2.16%, Google Class A declined 1.96%, Microsoft increased 0.73%, Amazon decreased 2.36%, Meta dropped 3.28%, TSMC fell 3.00%, Tesla declined 3.78%, Super Micro Semiconductor dropped 17.31%, Intel fell 1.32%.

【Global Indices】

【China Indices】

On February 4th, overnight Hang Seng Tech Index futures fell 1.81%, Nasdaq China Golden Dragon Index declined 1.95%, FTSE China A50 Index rose 1.13%.

【Chinese Concept Stocks】

In popular Chinese stocks, Tencent Holdings (HK) fell 3.96%, Alibaba dropped 2.76%, Pinduoduo declined 1.15%, NetEase fell 5.42%, Baidu decreased 4.77%, Ctrip dropped 5.11%, Li Auto rose 1.88%, Xpeng Motors declined 2.22%, NIO fell 2.53%.

【Forex and Commodities】

【Global News】

CIENA Expected to Be Included in the S&P 500 Index

CIENA is expected to be included in the S&P 500 Index. (Cailian Press)

Probability of the Fed Holding Rates Steady in March Is 90.1%

According to CME “FedWatch,” the probability of the Federal Reserve cutting rates by 25 basis points by March is 9.9%, and holding rates steady is 90.1%. The chance of a cumulative 25 basis point cut by April is 23.2%, with a 75.1% chance of no change, and a 1.6% chance of a 50 basis point cut. By June, the probability of a cumulative 25 basis point cut is 46.0%. (Cailian Press)

Federal Reserve Announces No Changes to Large Bank Capital Requirements Until 2027

The Federal Reserve announced on Wednesday that large bank capital levels will not be adjusted during the 2026 stress test cycle. The Fed is considering reforms to increase transparency for this annual test. Vice Chair for Supervision Michael Barr stated that the large bank stress capital buffer requirements will be delayed until 2027 to allow sufficient time to evaluate potential flaws in the testing models under recession scenarios. Last October, the Fed voted to open its stress testing models to the public for feedback and will also publish annual stress scenarios used to evaluate banks. (Cailian Press)

Google Parent Alphabet Reports Q4 Operating Profit of $35.93 Billion, Forecast Was $36.95 Billion

Alphabet reported a Q4 operating profit of $35.93 billion, compared to an estimated $36.95 billion.

Meta Launches “Avocado Model,” Its Most Powerful Pre-trained Large Language Model

An internal memo shows that Meta’s new “Avocado Model” is its most powerful pre-trained large language model. (Cailian Press)

Boeing to Provide Landing Gear Replacement Services for Over 75 Aircraft in Singapore Airlines’ Boeing 737 MAX and 787 Fleets

Boeing will provide landing gear replacement services for over 75 aircraft operated by Singapore Airlines Group. (Cailian Press)

Federal Reserve’s Overnight Reverse Repurchase Agreement (RRP) Usage Reaches $2.414 Billion

The Fed’s overnight RRP usage on Wednesday was $2.414 billion. (Cailian Press)

Elon Musk’s SpaceX Allegedly Conducts IPO Roadshow for Non-U.S. Banks

SpaceX, founded by Elon Musk, is reportedly conducting an IPO roadshow targeting non-U.S. banks. (Cailian Press)

Microsoft Appoints Google’s Hayete Gallot as New Head of Security

Microsoft has appointed Hayete Gallot, formerly at Google, as its new Chief Security Officer. (Cailian Press)

U.S. Treasury Secretary Yellen Says Fed’s Involvement in Other Areas Would Harm Its Independence

U.S. Treasury Secretary Janet Yellen stated that Fed involvement in other areas could undermine its independence. (Cailian Press)