U.S. stocks opened, let's take a look at the international financial market situation on July 1:
1. U.S. stocks opened, Nasdaq and S&P rose slightly, S&P technology giants, Nvidia $NVDA fell, other technology companies rose collectively, and the pioneers of U.S. technology stocks fell on Monday. Does it indicate a decline in AI enthusiasm in the short term?
2. The 10-year U.S. Treasury yield soared and was close to 4.5% again. The 10-year U.S. Treasury has always been a common barometer of the risk market. The rapid rise in U.S. Treasury yields in the short term since 2010 will inevitably lead to further lack of liquidity in the risk market, especially for the current situation of U.S. stocks. If U.S. stocks fall, the crypto market may not be able to get positive sentiment.
There are two ways to interpret the increase in 10-year U.S. Treasury yields:
①, good economic expectations, resulting in a short-term increase in U.S. Treasury yields caused by selling U.S. Treasury bonds,
②, inflation expectations deteriorated. If investors expect inflation to rise, they will inevitably require a higher rate of return, which is also an important factor in pushing up U.S. Treasury yields.
At present, the second factor may be more in line with the increase in rising yields.
3. The international gold price once surged in the morning, and then fell back after reaching $2,338 during the day. However, the international gold price is currently maintaining a strong rebound.
The international crude oil price rose all the way at the opening of the morning, and has now reached $86 per barrel. The US domestic crude oil index has risen in price.
4. The international white sugar price fluctuated and fell after opening in the afternoon, but rebounded rapidly in the evening. It has basically recovered the intraday decline, and the fluctuating rise has the rhythm of continuing to rise. The current price is $20.33. As an international strategic material, the continuous rise in the price of white sugar means that the geopolitical issues in some local areas may have risen to a greater international threat, which will lead to an increase in the price of white sugar.
Although the US stock market opened higher, as I said in the afternoon, whether the rise can be continued still depends on the overall market sentiment. At present, the international financial market sentiment is not too optimistic, especially the rapid rise of the 10-year US Treasury bond, which is very likely to draw some liquidity from the financial market, leading to stagflation of the US stock market, and this will also bring emotional frustration to the rise of the crypto market during the day.
