On Wednesday, the NASDAQ Golden Dragon China Index opened with a gain exceeding 4%, as popular US-listed Chinese stocks advanced collectively. Futu Holdings Limited (FUTU.US) led the surge, climbing more than 11%. Kingsoft Cloud Holdings Limited (KC.US) rose over 9%, while GDS Holdings Limited (GDS.US) increased by more than 7%. Alibaba Group Holding Limited (BABA.US) advanced over 5%, and Pinduoduo Inc. (PDD.US) gained more than 4%.
Additionally, during the day, the Shanghai Composite Index rose 2.70%, and the Hang Seng Index increased by 3.09%. On the news front, former President Trump stated that he agreed to suspend attacks on Iran for two weeks, contingent on the immediate reopening of the Strait of Hormuz. He noted progress in the ten-point proposal put forward by Tehran. A senior US official mentioned that the US has halted all offensive operations in Iran.
Analysis suggests that some of the world's largest investment firms are purchasing bonds and artificial intelligence stocks while selling off the US dollar, betting that the uncertainty triggered by the conflict has passed its peak. These moves indicate a preliminary belief that the worst of the selling pressure caused by the Iran conflict may be over, as oil prices decline and markets recalibrate expectations for the Federal Reserve to refocus on interest rate cuts.
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