Late-night explosion! Nasdaq soars, Nvidia pulls up sharply

Is the interest rate cut stable?

On July 31, the three major U.S. stock indexes opened higher collectively. The Dow Jones Industrial Average fell slightly during the session and then quickly rose. The Nasdaq opened higher and rebounded strongly. As of press time, the Dow Jones Industrial Average rose 0.44%, the Nasdaq rose 2.59%, and the S&P 500 rose 1.71%.

On the same day, the latest data released by the U.S. Bureau of Labor Statistics showed that the Federal Reserve's employment cost index (ECI) measuring wages and benefits only increased by 0.9% in the second quarter, lower than the market expectation of 1%, and lower than the previous value of 1.2%. Previously, the index rose by the largest amount in a year in the first quarter of 2024. After the news was announced, the 2-year Treasury yield briefly fell below 4.32%, and the 5-year Treasury yield also briefly fell below 4%, both of which were the lowest levels since February. As the labor cost indicator that the Federal Reserve attaches the most importance to, the unexpected slowdown of this data means that the signal of inflation easing has been strengthened again, which may pave the way for a rate cut in September. In the early morning of August 1, Beijing time, the Federal Reserve will announce its July interest rate decision. The market generally believes that the possibility of the Federal Reserve cutting interest rates in July beyond market expectations is low, and the probability of the first rate cut in September is 100%. The number of rate cuts this year is expected to be concentrated in 2-3 times. #美联储何时降息？ $BTC $ETH