30/01/2025 Daily Reports
Markets Slip After Fed Decision
Fed Keeps Rates Unchanged:
- The Federal Reserve held interest rates steady at 4.25% – 4.5%, stating that “inflation remains somewhat elevated.”
Tech Stocks Under Pressure:
- Nvidia (-4%): Hit by reports of potential new U.S. chip export restrictions.
- Tesla (+3%): Initially dropped 6% on earnings miss but rebounded.
- Microsoft (-5.5%): Cloud revenue fell short of expectations.
- Meta (-5%): Higher-than-expected spending and weak sales forecast.
IBM Surges (+11%)
- AI-related revenue now over $5 billion.
- Free cash flow forecast exceeded expectations.
Powell on Crypto:
- “Banks can serve crypto customers as long as risks are managed properly.”
- “The Fed is not against innovation.”
What’s Next?
- The Fed’s cautious stance suggests no immediate rate cuts, which could keep market volatility high.
- Tech stocks remain vulnerable, especially with AI-driven disruptions like DeepSeek.
- However, IBM’s strong AI performance shows that winners will emerge in this space.
Account Opening
Open A Live Account
CDO has wide range of tools, professional and friendly support for clients to achieve their financial markets trading goals. Open a live account now to enjoy this experience with virtual deposit.
Forex Mobile & Desktop App
CDO TRADER
CDO TRADER, our cutting-edge trading platform, follows the technology from the forefront with new features added continuously. Moreover, CDO TRADER is now available for Android and iOS! So it allows you to trade on the go!
Global Stocks Gain as Investors Eye ECB Rate Cut, AI Shifts
- European and US stock futures advanced alongside Asian shares as traders looked ahead to the European Central Bank’s expected rate cut and ongoing shifts in the AI sector.
- Euro Stoxx 50 and S&P 500 futures rose 0.3%, following a modest 0.2% gain in Asian markets, though liquidity remained thin due to Lunar New Year holidays.
- Investor sentiment was shaped by mixed earnings from US tech giants and a widely anticipated Fed rate hold.
- Meanwhile, Japan’s yen strengthened as the Bank of Japan signaled caution on future hikes.
- SoftBank’s reported $25 billion investment in OpenAI boosted tech sector optimism, despite an initial dip in its own shares.
- Oil prices remained steady as markets awaited further clarity on US trade policy under Donald Trump’s administration.
