Market Insights: April 10th, 2024

Stock Market Insights:

• A-Share Performance: Today, the three major A-share indices collectively opened lower, with the Shanghai Composite Index down by 0.08%, the Shenzhen Component Index by 0.25%, and the Growth Enterprise Market Index by 0.50%. In terms of sector performance, precious metals and new industrialization sectors led the gains, while iron ore, artificial meat, and rare earth permanent magnet sectors led the declines. As the indices weakened, the Growth Enterprise Market Index fell by more than 1%, the Shanghai Index by 0.30%, and the Shenzhen Component Index by 0.90%. Additionally, nearly 3,900 stocks in the Shanghai, Shenzhen, and Beijing markets declined.
• Hong Kong Stocks: The Hang Seng Index opened up by 0.58% today, with the Hang Seng Tech Index increasing by 1.04%. In individual stock performance, NIO rose by 5.13%, and Xiaopeng Motors by 5.19%; while NetEase rose by 0.51%, on the other hand, Sunny Optical Technology surged by 2.92%.
• U.S. Stocks: The U.S. stock market showed volatility today, with the Dow Jones Industrial Average opening higher then quickly dropping, at one point falling by more than 300 points, but recovering most losses towards the close; however, it still ended lower. The S&P 500 and the Nasdaq Composite indices slightly increased. Investors were generally cautious, awaiting the first-quarter earnings season, as well as the latest inflation data and the publication of the minutes from the Federal Reserve's meeting.

Commodities Market:

• Crude Oil Market: Crude oil prices fell by more than 1% today, moving away from a five-month high over two days.
• Gold Market: Gold prices set a closing historical high on nine out of the last ten days.
• Metal Market: Tin prices surged by more than 4%, hitting a 14-month high, while copper prices reached a near two-year high.
• Cryptocurrency Market: Bitcoin fell nearly $4,000 during trading, dropping below $69,000.

Bond Market:

• U.S. Treasury Market: Ahead of the release of the CPI inflation data, shorts cautiously covered their positions, leading to a rebound in U.S. Treasury prices and a decline in yields. The yield on ten-year Treasuries returned to below 4.40%, temporarily departing from its four-month high.

Economic Data:

• CPI Data: The upcoming CPI data is expected to show cooling inflation, with the March core CPI projected at 3.7%, lower than February's 3.8%.
• Gold-Themed Products: A premium has been observed in gold-themed LOF products. Yifangda Gold Theme LOF has suspended trading to remind investors of the premium risk.

Gaming Industry Updates:

• Game Collaboration: NetEase announced that, in collaboration with Blizzard Entertainment and Microsoft Games, games like World of Warcraft from Blizzard's portfolio will return to Mainland China in the summer of 2024.