To The Moon

Wall Street ended sharply lower on mixed earnings and lingering inflation, while Chinese stocks plunged on a larger-than-expected fall in exports.

🇺🇸 S&P 500: -1.44% 📉

🇺🇸 Nasdaq: -1.62% 📉

🇪🇺 Stoxx 600: 0.18% 📈

🇯🇵 Nikkei 225 Index: 0.21% 📈

🇭🇰 Hang Seng Index: -2.18% 📉

🇨🇳 CSI 300 Index: -0.81% 📉

* U.S. markets sold off on Friday, with the S&P 500 and Nasdaq Composite down -1.5% and -1.6% respectively, after earnings results from JPMorgan and Wells Fargo missed expectations, ahead of economic data that showed inflation and overall The economy remains stronger than expected.

* The University of Michigan's preliminary consumer sentiment index fell more than expected to 77.9 in April from 79.4 in March, as rising prices and high borrowing costs weighed on consumer confidence.

* Asian stocks fell, with the Hang Seng and CSI 300 down -2.2% and -0.8% respectively, hurt by a weaker yuan and shrinking exports in trade data.

* China's exports fell more than expected in March, down -7.5% year-on-year, compared with expectations for a -2.3% decline and in sharp contrast to February's 5.6% growth, due to weak overseas demand and tightening global monetary policy.

💡 Future events: 💡

* On Monday, the monthly rate of U.S. retail sales attracted much attention from investors.

* China's new home price monthly rate, industrial production annual rate, GDP growth rate annual rate, retail sales annual rate, unemployment rate and the EU ZEW Economic Sentiment Index will be released on Tuesday.

💡 Things you need to know today: 💡

1. Apple plans to use the new artificial intelligence M4 chip to completely revamp the entire Mac product line, also add artificial intelligence capabilities to all its products, and focus more on improving performance and launching new features to boost sluggish computer sales.

Apple M4 chip

2. JPMorgan and Wells Fargo reported declines in net interest income, which fell from the previous quarter to $23.1 billion (versus $24 billion) and $12.2 billion (versus $12.8 billion), while increasing financing costs net interest income fell short of analysts' expectations at a time when higher payments to savers and slowing loan growth are eroding the benefits of rising interest rates. For such, I am short term bearish for all the banks incoming earnings $Bank of America(BAC)$  $Wells Fargo(WFC)$  $Citigroup(C)$  $Western Alliance(WAL)$  $JPMorgan Chase(JPM)$  

JP Morgan

Wells Fargo

3. Japan's Mitsubishi UFJ Financial Group is in talks to acquire a 20% stake in Indian non-bank lender HDB Financial Services, part of HDFC Bank, for about $1.7 billion to meet growing retail financing needs in India's expanding economy.

MUFG

4. China's State Council issued nine new guidelines, including stricter stock listing standards, crackdown on illegal stock sales and strengthening supervision of dividend payments, aimed at protecting investor rights and ensuring the stability of the capital market.

✅ KEY TAKEAWAYS:

Earnings even slightly below analysts' profit forecasts, coupled with an upward revision to the interest rate outlook, would pose a significant challenge to the U.S. bull market.

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