Global Market Financial Weekly Report-

Global Market Financial Weekly Report-
2024 Sept.  Week 1
Your comprehensive guide to the week's key financial events and market trends.
Citation: BBC News、NASDAQ News
Highlights of the Week
1
Nvidia Stock Plummets
Nvidia's stock dropped 9.5%, erasing $279 billion in market cap due to AI growth concerns.
2
US Economic Weakness
Manufacturing contraction and slowing labor market intensify expectations of Fed rate cut.
3
Bangladesh's Fast Fashion Crisis
Political unrest disrupts $55 billion garment industry, threatening exports.
China's Economic Slowdown
Weak Consumer Demand
Retail sales figures fail to meet expectations, raising long-term growth concerns.
Property Sector Woes
Ongoing challenges in real estate market contribute to economic struggles.
Industrial Production
Manufacturing output underwhelms, adding to broader economic concerns.
UK Windfall Tax Impact
UK increases windfall tax on oil and gas companies
The tax increase is projected to cause a £13 billion loss between 2025 and 2029. It puts 35,000 jobs at risk and may hinder the UK's green energy transition.
Industry leaders criticize the decision
Critics warn of potential deterrence to investment in crucial energy projects. Companies may scale back investment in response to the increased tax burden.
Nvidia's Stock Decline Analysis
1
Q2 Growth
Nvidia reported impressive 122% growth in the second quarter.
2
Q3 Forecast
Projected deceleration to 80% growth in the next quarter spooked investors.
3
Stock Plunge
Nvidia's stock dropped 9.5%, erasing $279 billion in market capitalization.
US Manufacturing and Labor Market
Manufacturing Contraction
PMI remains below 50, indicating ongoing weakness in the sector.
Soft Labor Market
Fewer job openings and decelerating payroll growth observed.
Federal Reserve Expectations
Increasing calls for a 50-basis-point rate cut.
Bangladesh's Garment Industry Crisis
1
Political Unrest
Labor protests escalate, disrupting production.
2
Brand Reassessment
Major brands like Disney and Walmart reconsider sourcing strategies.
3
Economic Impact
Potential 10-20% decline in exports threatens economic stability.
China's Economic Challenges
Global Market Review
US Markets
S&P 500 fell 2.12%, Nasdaq tumbled 3.15%.
European Markets
Euro Stoxx 50 dropped 1.22%.
Asian Markets
China's struggles weighed on regional markets.
Commodities
Crude oil prices plunged over 3%.
US Economic Data Analysis
Manufacturing sector shows persistent contraction
ISM Manufacturing PMI remains below 50, indicating ongoing weakness.
Construction sector weakness
Surprising 0.3% drop in spending for July reported.
Labor market remains resilient
Despite cooling signs, steady job growth is expected in coming months.
European Economic Outlook
Germany
Retail sales continue to decline. Manufacturing data shows little improvement.
Overall Outlook
Economic outlook remains clouded due to persistent challenges.
China's Economic Indicators
1
Industrial Production
Fails to meet expectations, raising concerns about economic trajectory.
2
Retail Sales
Disappointing figures reflect weak consumer demand.
3
Fiscal Stimulus
Beijing's cautious approach fails to inspire market confidence.
Market Outlook
Stock Market
US equities face continued volatility, particularly in the tech sector.
Bond Market
US 10-year Treasury yield drops to 3.83%, signaling demand for safer assets.
Commodities
Oil prices under pressure, while gold benefits from market volatility.
Forex Market Trends
1
US Dollar
Strengthens amid global economic uncertainty.
2
Euro and Yen
Remain under pressure due to ongoing economic challenges.
3
Chinese Yuan
Faces headwinds as China's economic growth slows.
Conclusion
Global Uncertainty
Economic weaknesses in key regions create a challenging environment.
Investor Sentiment
Increasing turn to safe-haven assets amid cautious equity outlook.
Central Bank Focus
Federal Reserve actions will play a pivotal role in shaping market trajectory.