US stocks hit record high

VTV.vn - All three major US stock indexes closed at record highs, with gains driven by technology stocks.

US stocks hit record high

News that Nvidia will build an artificial intelligence supercomputer for the US Department of Energy, along with investor optimism about business results ahead of reports from large-cap companies later this week, led the US market's rally. Microsoft shares also rose after the company reached a deal to allow OpenAI to restructure as a public-interest company and Microsoft to take a 27% stake in the maker of ChatGPT. Investors are also closely watching the outlook for interest rates, especially given the nearly month-long US government shutdown.

In addition to the Fed, a host of central banks are meeting this week, including the central banks of Japan, Canada and Europe. The Fed is widely expected to cut interest rates at the meeting, with markets pricing in a 99.9% chance of a 0.25 percentage point cut, according to CME's FedWatch Tool. The European Central Bank and the Bank of Japan are expected to keep rates unchanged.

Expectations of a Fed rate cut, along with recent signs of easing trade tensions between the US and China, have helped boost risk appetite, pushing stocks higher and keeping the yield on the benchmark 10-year US Treasury note near multi-month lows. US President Donald Trump and Chinese President Xi Jinping are scheduled to meet on October 30 to decide on a framework that could halt tougher US tariffs and restrictions on Chinese rare earth exports.

In addition, the continued US government shutdown has led to a lack of economic data, forcing investors to look to other sources to assess the country's economic situation. The first preliminary weekly estimate from the ADP National Employment Report showed that US private sector jobs increased by an average of 14,250 in the four weeks ended October 11.

Meanwhile, the Big 7 tech companies, including Microsoft, Alphabet, Apple, Amazon and Meta Platforms, are scheduled to report earnings this week. Investors will be closely watching the reports to assess the very high valuations of these companies.

Source: https://vtv.vn/chung-khoan-my-lap-ky-luc-10025102909582571.htm