Overnight US stocks | The three major indices rose and fell, and Apple (AAPL.US) fell for seven consecutive trading days

The Zhitong Finance App learned that on Thursday, only the NASDAQ index closed down. Investors continued to withdraw capital from technology stocks and invest in other sectors. Sector rotation put pressure on the NASDAQ, and Apple (AAPL.US) closed down for seven consecutive trading days.

[US Stocks] At the close, the Dow closed up 270.03 points, or 0.55%, to 49266.11 points; the NASDAQ fell 104.26 points, or 0.44%, to 23480.02 points; and the S&P 500 rose 0.52 points, or 0.01%, to 6921.45 points. Lockheed Martin (LMT.US) rose 4.3%, Nvidia (NVDA.US) and AMD (AMD.US) fell more than 2%, and ConocoPhillips (COP.US) rose 5%. The Nasdaq China Golden Dragon Index closed up 1.09%, HUYA.US (HUYA.US) rose 14.6%, and Alibaba (BABA.US) rose 5.2%.

[European stocks] The German DAX30 index rose 17.89 points, or 0.07%, to 25116.42 points; the British FTSE 100 index fell 10.06 points, or 0.10%, to 10038.15 points; the French CAC40 index rose 9.55 points, or 0.12%, to 8243.47 points; the European Stoxx 50 index fell 19.61 points, or 0.33%, to 5903.96 points; the Spanish IBEX35 index rose 48.22 points, or 0.27%, to report 17644.62 points; Italy's FTSE MIB index rose 109.82 points, or 0.24%, to 45668.50 points.

[US Dollar Index] The US dollar index, which measures the US dollar against six major currencies, rose 0.26% on the same day and closed at 98.936 at the end of the foreign exchange market. As of the end of the exchange market in New York, 1 euro was worth 1.1650 US dollars, lower than 1.1682 US dollars on the previous trading day; 1 pound was worth 1.3431 US dollars, lower than 1.3464 US dollars on the previous trading day. 1 US dollar was worth 156.97 yen, up from 156.74 yen on the previous trading day; 1 US dollar was worth 0.7 995 Swiss franc, higher than 0.7975 Swiss franc on the previous trading day; 1 US dollar was worth 1.3868 Canadian dollars, higher than 1.3845 Canadian dollars on the previous trading day; 1 US dollar was worth 9.2246, up from 9.1819 on the previous trading day.

[Cryptocurrency] Bitcoin reached the 910,000 US dollar mark, and the intraday decline narrowed to 0.14%. At one point, it fell below 90,000 US dollars during the intraday period; Ethereum fell more than 1.5% to $3119.5.

[Precious Metals] Spot gold rose 0.48% to 4477.42 US dollars per ounce; spot silver fell 1.57% to 77 US dollars. At one point during the intraday period, it plummeted by more than 5%

[Crude oil] International oil prices rose significantly on the 8th. Light crude oil futures for February delivery on the New York Mercantile Exchange rose $1.77, or 3.16%, to close at $57.76 a barrel; London Brent crude oil futures for March delivery rose $2.03, or 3.39%, to close at $61.99 a barrel.

[Macro News]

Trump said he has decided on the candidate for the chairman of the Federal Reserve. US President Trump said in an exclusive interview that he has decided who to nominate as the next chairman of the Federal Reserve, but did not reveal the candidate. “I have a decision in my mind,” he said, “but I haven't talked to anyone yet.” When asked about his chief economic adviser Hassett, Trump said “I don't want to say it,” but he called Hassett “definitely one of my favorite people.” Whoever Trump chooses, the next chairman of the Federal Reserve will take over an institution at a critical moment, at the center of the president's unprecedented pressure campaign to drastically reduce interest rates. According to Kalshi, the prediction market, the probability that Kevin Walsh will be elected chairman of the Federal Reserve is currently 41%, Kevin Hassett is 39%, and Christopher Waller 12%.

The US Congressional Budget Office expects the Federal Reserve to cut interest rates slightly this year. The US Congressional Budget Office (CBO) predicted on Thursday that the Federal Reserve may cut interest rates further slightly this year to “deal with downside risks in the labor market.” The CBO pointed out that higher tariffs and the increase in consumer demand brought about by the Trump administration's tax cuts are expected to increase the inflation rate above the Federal Reserve's 2% target. The CBO said in its latest economic outlook that interest rates are currently in the range of 3.5% to 3.75%, and are expected to fall to 3.4% in the fourth quarter and remain at this level until 2028. The CBO predicts that the US unemployment rate will fall to 4.6% this year and 4.4% in 2028; while the PCE inflation rate favored by the Federal Reserve will fall to 2.7% this year and 2.1% in 2028.

Goldman Sachs: Investors' bearishness on oil has reached its highest level in nearly a decade. A Goldman Sachs Group survey found that geopolitical factors have brought institutional investors' views on oil to the most pessimistic level in nearly 10 years, and the global market is facing an oversupply of oil. According to Goldman Sachs's survey, more than 59% of more than 1,100 customers covering all types of assets are bearish or slightly bearish on the crude oil market. This percentage is slightly above the lowest monthly level since records began in January 2016. Last year, crude oil prices recorded their worst performance since 2020 due to increased OPEC+ production, record production increases in the US, and increased supply from countries such as Brazil and Guyana. Oversupply is expected to expand further this year. If the Russia-Ukraine conflict ends, supply disruptions and sanctions on Russian crude oil are likely to be eliminated. Meanwhile, the US plans to control future oil sales in Venezuela and bring crude oil from this South American country to the market.

The Venezuelan stock index recently surged 124%, and foreign investors are seeking entry opportunities. After Venezuelan President Nicolas Maduro was captured by the US military, the price of Venezuelan assets rose alarmingly. This week, the Caracas stock index soared by about 124%. According to local traders, more and more foreign clients are calling brokerage firms to ask how to invest in Venezuelan assets. However, entering the Venezuelan market is not an easy task. In addition to being smaller (with a total market capitalization of only $22.5 billion and less than 40 listed companies), local stocks also face regulatory hurdles and currency issues. Additionally, international investors are required to register with local tax authorities, which is a tedious and time-consuming procedure. “If you want to invest in Venezuelan assets, I'm sure you can find a way, but it's too small,” said Todd Thorne, a senior ETF strategist at New York's Strategas. On Monday, the US Securities and Exchange received an application for an ETF that tracks the Venezuelan Companies Index. The fund not only holds shares listed in Caracas, but also includes companies with close business dealings with Venezuela.

Gold exports have overshadowed the weakness of Canada's overall trade situation. Canada's trade deficit in October last year was only 583 million Canadian dollars (421 million US dollars), but the surge in precious metals (mainly gold) exports was the main reason for this deficit. Excluding gold exports, Canada's trade deficit would be as high as $8.2 billion. This gap highlights the extent to which Canadian trade depends on global demand for precious metals. In October of last year, a large amount of gold was shipped to the UK, driving Canada's overall exports to non-US countries to a record high. This shift helped reduce the country's dependence on the US market and reduce its trade deficit with the rest of the world.

[Individual Stock News]

Mining giant GLNCY.US (GLNCY.US) and Rio Tinto have resumed merger negotiations. Glencore issued an announcement stating that the company has taken note of recent media speculations and confirmed that it is in preliminary discussions with Rio Tinto Group and Rio Tinto Limited (collectively, “Rio Tinto”) on a possible business merger. The merger may cover part or all of Rio Tinto's and Glencore's businesses, including the full share merger between Rio Tinto and Glencore. The parties currently anticipate that any merger deal will be realized through Rio Tinto's acquisition of Glencore through an arrangement approved by the court. It is currently uncertain whether the terms of any transaction or offer can be agreed upon. Even if an agreement is reached, the specific terms or structure of the transaction are uncertain, and a separate notice will be issued at that time depending on the circumstances. According to regulations, Rio Tinto must make a decision before 5 p.m. on February 5, 2026. Nearly a year ago, the two companies had negotiations involving mergers and acquisitions, but in the end they ended in failure.

Source: Big tech companies are exempt from strict restrictions in the EU's digital rules reform. People familiar with the matter said on Thursday that despite telecom companies' calls for greater regulation, Google (GOOGL.US), Meta Platforms (META. US), Netflix (NFLX. US), Microsoft (MSFT. US) and Amazon (AMZN. US) will not face strict regulation in Europe's digital rules reform. In recent years, the European Commission has passed a series of new technology rules, triggering criticism from the US. The US believes that these rules target US tech giants. The EU has flatly denied this claim. The EU's head of science and technology affairs will announce this rule reform plan called the “Digital Network Act” (DNA for short) on January 20, which aims to enhance Europe's competitiveness and promote investment in telecommunications infrastructure. People familiar with the matter revealed that tech giants will only be bound by a voluntary framework, not mandatory rules that telecom operators must abide by.

Source: Nscale, a data center company supported by Nvidia (NVDA.US), is reportedly seeking $2 billion in financing. According to people familiar with the matter, data center company Nscale is in negotiations with investors and plans to raise about 2 billion US dollars. This is just over three months since the end of its previous round of financing. The above sources revealed that this artificial intelligence hyperscale computing company is cooperating with Goldman Sachs Group and J.P. Morgan Chase to carry out this financing. UK-based Nscale raised more than $1.5 billion in two funding rounds in September and October. Prior to that, the company had just announced a partnership with Nvidia and OpenAI.

[Major Bank Ratings]

Deutsche Bank: Resumes coverage of Nike (NKE.US), gives a “hold” rating, and sets a target price of 67 US dollars

Truist Securities: Raising McDonald's (MCD.US) Price Target from $350 to $356

Morgan Stanley: Lowering Alibaba (BABA.US) Price Target from $200 to $180