Tesla Soars US Stocks Hit New High Cryptocurrencies Struggle to Gain Momentum
Yesterday, the U.S. stock market closed early due to Independence Day, with the S&P 500 index and Nasdaq reaching new closing highs. Tesla (TSLA) shares surged 6.54%, marking the third consecutive day of strong gains. However, cryptocurrencies remained lackluster, with Bitcoin falling below 60K at one point yesterday, and Ethereum also dropping to 3,251 USD
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Federal Reserve: Cautious Attitude Towards Inflation Progress
ADP Indicates Possible Slowdown in U.S. Labor Market?
Tesla’s Three-Day Rally, Stock Price Up Nearly 40% in One Month
According to a CNBC report, the minutes from the Federal Reserve’s June meeting released yesterday show that most members believe inflation is moving in the right direction, but not quickly enough to lower interest rates. The minutes reflect the diverse opinions of the 19 participating members, some of whom even expressed a tendency to raise interest rates if necessary, but the majority believe that economic growth is cooling down and the current policy is “restrictive,” a key term as officials consider how much restriction is needed in policy while reducing inflation without causing undue economic damage
Since the meeting, Federal Reserve officials have generally maintained cautious wording, emphasizing “data dependency” rather than forecasts. However, several officials, including Chairman Powell, have stated that continued encouraging inflation data will provide confidence in lowering interest rates
(Powell’s dovish stance leads to a rally in U.S. stocks, while Bitcoin and Ethereum remain subdued)
The ADP employment report, known as the “little non-farm,” showed that private employment in the U.S. increased by only 150,000 in June, less than the previous month’s 157,000 and below the expected 165,000, marking three consecutive months of slowing growth, indicating that momentum in the U.S. labor market may have weakened. The ADP report is a precursor to the non-farm employment numbers to be released by the Department of Labor on Friday, but because the two statistics have different scopes and methodologies, they do not always show the same trend
Yesterday, the U.S. stock market closed early due to Independence Day, with the S&P 500 index and Nasdaq reaching new closing highs. Tesla (TSLA) shares surged 6.54%, marking the third consecutive day of strong gains. Previously, Tesla’s stock performance had been sluggish for nearly a year due to the overall car market not yet recovering and low-price competition from Chinese electric vehicle manufacturers. While other tech giants were hitting new highs this year, Tesla’s stock was falling, dragging down the overall market. However, the market sentiment has recently changed, and Tesla’s stock price soared over 10% the day before yesterday after the second-quarter delivery volume, although down 4.7% from the same period last year, exceeded analysts’ expectations. CEO Elon Musk is scheduled to speak at the “World Artificial Intelligence Conference” (WAIC) in Shanghai on the 4th, where he is expected to showcase the Cybertruck and the new generation robot Optimus Gen 2. Tesla’s stock price has been strongly jumping for three days, with a nearly 38% increase in the past month
