Today on Wall Street
The Federal Reserve Chairman’s Capitol Hill speech on monetary policy approach, the slowing services industry in the US, China’s lofty objectives for a 5% growth rate, Russia’s lunar nuclear facility development with China, and more are generating news throughout the world.
Market participants are closely monitoring US Federal Reserve Chairman’s testimony on monetary policy strategy, despite a slowing services industry in the country. China sets a 5% growth target, while Russia and China explore lunar nuclear plants. The top news from World Street on March 6 is highlighted.
Powell Addresses Capitol Hill
Federal Reserve chairman Jerome Powell is set to appear at Capitol Hill on March 6, aiming to provide a clearer perspective on the US central bank’s monetary policy approach without causing concern to Wall Street, as he faces congressionally mandated testimony.
Services Sector Slows
The US services industry experienced a slight slowdown in February due to a drop in employment, but new orders reached a six-month peak, indicating resilience. The ISM’s non-manufacturing PMI fell to 52.6, indicating growth in the sector, which accounts for over two-thirds of the economy.
China’s Growth Forecast
Premier Li Qiang outlined China’s economic outlook, aiming for a 5% growth rate in 2024, despite challenges like insufficient demand and overcapacity. He also revealed China’s military budget for 2024, set to increase by 7.2% to approximately 1.67 trillion yuan or $230 billion.
Apple Sales dip
Apple experienced a 24% drop in iPhone sales in China during the first six weeks of 2024, according to a report from Counterpoint Research, largely due to intense competition from domestic smartphone manufacturers like Huawei, Oppo, Vivo, and Xiaomi.
Lunar nuclear plant plans
Russia and China are exploring the possibility of installing a nuclear power plant on the moon between 2033 and 2035, according to Yuri Borisov, head of Russia’s Roscosmos space agency. Borisov emphasized Russia’s expertise in nuclear space energy and suggested the project could lead to future lunar settlements.
Fostering Homeownership
The US treasury department has announced plans to boost affordable housing availability by releasing billions of dollars in untapped COVID-19 relief funds to state and local authorities, in line with the Biden administration’s strategy to address the housing affordability crisis.
Tech Industry Faces Challenges Amidst Rising Gold Prices
Canada’s primary index closed lower due to declines in the technology sector and gains in resource shares, driven by record-high gold prices. Investors awaited the Bank of Canada’s interest rate decision and the Toronto Stock Exchange’s S&P/TSX composite index.
AI chip ‘too powerful’
US officials have deemed Advanced Micro Devices Inc’s AI chip for the Chinese market too powerful to sell without a license, causing concern for another American semiconductor company. Nvidia Corp has been downgrading its AI chips for China to comply with US export restrictions.
Cybersecurity in vogue
CrowdStrike’s stock surged by up to 21% in after-hours trading on March 5 after the cybersecurity firm exceeded revenue and profit expectations, providing a strong outlook for the upcoming quarter and year.
My best read on trading is this Book
Today on Wall Street