Overnight US stocks | The three major indices had mixed ups and downs, and the NASDAQ rose 9.56% this month

The Zhitong Finance App learned that on Friday, the three major indices had mixed ups and downs. This week, the S&P 500 rose 1.87%, the Dow 1.6%, and the NASDAQ, which is dominated by technology stocks, rose 2%. In May, the S&P 500 index rose 6.15% cumulatively, the Nasdaq Composite Index soared 9.56% over the same period, and the 30 Dow index shares rose 3.93% monthly.

[US stocks] At the close, the Dow rose 54.34 points, or 0.13%, to 42270.07 points; the NASDAQ fell 62.11 points, or 0.32%, to 19113.77 points; the S&P 500 index fell 0.48 points, or 0.01%, to 5911.69 points. Some star technology stocks fell, with Intel (INTC.US) down 3.4%, Tesla (TSLA.US) down 3.3%, Nvidia (NVDA.US) down 2.9%, and Alibaba (BABA.US) 2.8%. The Nasdaq index's percentage increase in May was the biggest since 1997, and the S&P 500 index recorded its strongest May performance since 1990. The S&P 500 index and the Nasdaq index recorded their biggest monthly percentage gains since November 2023.

[European stocks] The German DAX30 index rose 37.59 points, or 0.16%, to 24005.89 points; the British FTSE 100 index rose 58.82 points, or 0.67%, to 8775.27 points; the French CAC40 index fell 27.83 points, or 0.36%, to 7751.89 points; the European Stoxx 50 index fell 3.35 points, or 0.06%, to 5367.75 points; Spain's IBEX35 index rose 19.61 points, or 0.14%, to report 14160.51 points; Italy's FTSE MIB index rose 108.03 points, or 0.27%, to 40091.00 points.

[Asia Pacific Stock Market] The Nikkei 225 Index fell 1.22%, South Korea's KOSPI Index fell 0.84%, and the Indonesian Composite Index fell 0.32%.

[Foreign Exchange] The US dollar index, which measures the US dollar against the six major currencies, rose 0.05% on the same day and closed at 99.328 at the end of the foreign exchange market. As of the end of the exchange market in New York, 1 euro was worth 1.1359 US dollars, lower than 1.1375 US dollars on the previous trading day; 1 pound was worth 1.3468 US dollars, lower than 1.3498 US dollars on the previous trading day. 1 US dollar was worth 143.89 yen, lower than 144.00 yen on the previous trading day; 1 US dollar was worth 0.8224 Swiss franc, lower than 0.8224 Swiss franc on the previous trading day; 1 US dollar was worth 1.3718 Canadian dollars, lower than 1.3801 Canadian dollars on the previous trading day; 1 US dollar was worth 9.5775 SEK, up from 9.5522 on the previous trading day.

[Metals] COMEX gold futures fell 0.84% to 3289.40 US dollars/ounce, down about 0.90% in May, COMEX silver futures fell 1.06% to 33.070 US dollars/ounce, and rose by about 0.70% in May.

[Cryptocurrency] Bitcoin fell more than 1% to $10,4613; Ethereum fell more than 2.5% to $2565.78.

[Crude oil] Light crude futures for July delivery on the New York Mercantile Exchange fell 15 cents, or 0.25%, to close at $60.79 a barrel; London Brent crude oil futures for July delivery fell 25 cents, or 0.39%, to close at $63.90 a barrel.

[Macro News]

The Atlanta Federal Reserve sharply raised the US economic growth forecast for Q2. The Atlanta Federal Reserve's GDPNow model predicts the US GDP growth rate of 3.8% in the second quarter, compared to 2.2% previously. Following recent data released by the US Census Bureau and the US Bureau of Economic Analysis, the Atlanta Federal Reserve's GDPNow model anticipates an immediate forecast of net exports contributing to real GDP growth in the second quarter to jump from -0.64% to 1.45%. However, the immediate forecast for real personal consumption expenditure growth in the second quarter and real gross domestic private investment growth for the second quarter declined, falling from 3.7% and -0.2% to 3.3% and -1.4%, respectively.

Goldman Sachs: Foreign investors are unlikely to give up on US Treasury bonds. Although Moody's downgraded the credit rating of US Treasury bonds, foreign investors are unlikely to abandon the US Treasury bond market because there are currently no suitable alternatives. Lindsay Rosner, head of multi-industry investment at Goldman Sachs Asset Management, said, “From a global perspective, there are currently very few countries with AAA sovereign credit ratings. In fact, there are close to 11, but if you look at the size of these countries' bond markets, you'll find that they are dwarfed by the size of the US Treasury bond market.” “At the end of the day, the US market has a depth and breadth that other markets don't have.” She also said that if the yield on long-term treasury bonds remains above 5%, “we will eventually reach a critical point where the hedging effect, especially interest spreads, will begin to become attractive.”

Trump: I want 100% of American cars to be made in the US. US President Trump said that although he gave US automakers “some room for maneuver” in terms of tariffs, he expects automakers to fully resume domestic automobile manufacturing next year. In response to questions about tariffs affecting companies such as Tesla in the Oval Office, Trump told reporters: “All manufacturers will also make parts here.” Trump continued, “It used to bother me. [The car manufacturer] made a part in Canada, made a part in Mexico, made a part in Europe, and then sent it everywhere. No one really knew what happened.” “I think if you build a car, it's made in America... they have to make everything in America for the next year.”

J.P. Morgan CEO Dimon: Sooner or later, there will be a rift in the bond market. J.P. Morgan CEO Dimon warned that the bond market “is likely to rift” after “large-scale excessive” spending and quantitative easing by the US government and the Federal Reserve. “I just don't know if there will be a crisis in 6 months or 6 years. I hope we can change the trajectory of debt and the ability of market makers to make markets,” Dimon said. “Unfortunately, we might need it to wake us up.” Dimon has said many times in recent years that he is concerned about global deficit spending. On Friday, when asked if the so-called “Bond Vigilantes” (Bond Vigilantes) are making a comeback, he said, “Yes.”

Trump criticized the Congressional Budget Office for deliberately lowering economic growth forecasts. US President Trump said on social media: “The Democrats inspired and 'controlled' the Congressional Budget Office (CBO) and deliberately gave us an extremely low growth rate of only 1.8% in 10 years. How ridiculous and unpatriotic this is! They did the same thing to us in 2017, but we achieved twice as much growth as they predicted. Their recent message is even more ridiculous and untenable. I predict that our economic growth will be 3, 4, or even 5 times what they intend to 'allocate' to us (1.8%). Also, as long as we achieve the minimum expected 3% increase, we'll be able to offset our tax cuts (in fact, it won't cost us anything!)”

[Individual Stock News]

Musk lobbied Washington to clear the way for autonomous cars. Elon Musk is pushing lawmakers to help clear the way for driverless cars, as part of his broader effort to lobby for a key Tesla (TSLA.US) priority, according to people familiar with the matter. In recent weeks, Musk and those who work for him have been directly calling lawmakers to ask for support, and he has also been considering amending a bill introduced on May 15 that will begin to establish the basic framework for autonomous vehicles. One of the people familiar with the matter said that the options discussed include speeding up the passage of the bill or submitting a more detailed similar bill before the National Assembly adjourns on July 4.

TSMC is reportedly evaluating the possibility of building an advanced chip factory in the UAE. According to people familiar with the matter, TSM.US is evaluating the possibility of building an advanced chip manufacturing base in the UAE and has already discussed this with Trump administration officials. The success of this potentially major investment project in the Middle East will depend on approval from the US government. Sources said that in recent months, TSMC has had several meetings with the US Special Envoy for Middle East Affairs Witkoff and representatives of the UAE company MGX. According to reports, the project currently under discussion is to invest in the construction of an oversized fab, similar to the six factory parks built by TSMC in Arizona.

The Trump administration will make Nippon Steel wholly owned by Nippon Steel (X.US). The Trump administration is making final arrangements to approve Nippon Steel's plan to acquire American Steel as a wholly-owned subsidiary. Sources revealed that in order to ensure that the US government has a certain degree of influence over the operation of US Steel, Nippon Steel will sign a “national security agreement” with the US government. Trump is expected to sign an executive order as early as Friday US time to abolish the takeover ban issued by former US President Joe Biden and approve the deal. Trump will deliver a speech on the same day in Pittsburgh, where American Steel is headquartered. He is expected to emphasize that the cooperation between Nippon Steel and US Steel will create jobs and economic benefits. The agreement will require Nippon Steel not to cut US steel production capacity, move production facilities overseas for a period of time without approval from the US authorities, and require the Japanese steel manufacturer to regularly report to the US Committee on Foreign Investment (CFIUS). The agreement will also include provisions requiring US citizens to hold majority seats on the American Steel Board of Directors and key management positions such as CEO and Chief Financial Officer.

Trump Media Group (DJT.US) raised $2.44 billion to become a major Bitcoin holder for listed companies. Trump Media Group announced today that it has completed its previously announced private placement with about 50 institutional investors. The offering includes: ① selling 55,857,181 shares of the company's common shares at a price of $25.72 per share, raising about US$1.44 billion in gross capital; ② issuing convertible advanced guarantee notes with a principal amount of US$1 billion and due in 2028, at a conversion price of US$34.72 per share. Together, the two raised approximately US$2.44 billion. Trump Media will use approximately $2.32 billion of net capital to establish Bitcoin reserves and use it for other general corporate purposes and working capital. As one of the largest Bitcoin reserve transactions among listed companies, the net capital and corporate strategy of this issuance will make Trump Media Group one of the companies holding the most bitcoins among US listed companies. After this release, Bitcoin will be included in Trump Media Group's balance sheet, along with a total of $759 million in cash, cash equivalents, and short-term investments up to the end of the first quarter of 2025.