Sleepless night in the middle of the night! BTC suddenly surges violently, the Nasdaq opens with a nearly 2% jump, tech stocks and Chinese concept stocks are celebrating together. The core driving force of this market trend is the Federal Reserve's sudden signal to shift towards interest rate cuts!
The tech sector is completely boiling: Google sets a historical high with its AI product Gemini, Tesla and Broadcom soar over 5%, with Broadcom leading the way with a single-day surge of 7%; Amazon and Meta follow closely, and the seven tech giants collectively ignite the market. Chinese concept stocks are also not to be outdone, with the Nasdaq Golden Dragon China Index rising over 2%, Bilibili leading with a 7%+ increase, and Baidu, Alibaba, and NIO all following suit, with capital rushing to buy at an unstoppable pace.
The key turning point for the explosive market comes from the Federal Reserve's 'dovish reversal': the popular candidate for the next Federal Reserve Chair, Waller, who was once known for his hawkish stance, suddenly expressed clear support for a rate cut in December, stating concerns about the ongoing weakness in the labor market. This significant statement directly ignited market sentiment, with CME FedWatch data showing a sharp rise in the probability of a rate cut in December, and Goldman Sachs quickly followed up with a prediction, clearly stating that December will mark the beginning of three consecutive rate cuts, with the terminal rate expected to drop to the 3%-3.25% range.
Institutional giants have already sounded the charge: Morgan Stanley Chief Strategist Michael Wilson declared that 'the decline in U.S. stocks is about to end,' giving a target price of 7800 points for the S&P 500 index next year, indicating that there is still an 18% upside potential. His core logic points to two certainties: first, the landing of the Fed's rate cuts will release a massive amount of liquidity; second, the AI sector continues to explode, and corporate profit growth momentum remains strong.
The main theme of the global market is now clear — rate cut expectations dominate everything! Tonight's tech stocks and cryptocurrency frenzy may just be a warm-up for the broad market driven by liquidity easing. When massive funds flood into the market, the subsequent market frenzy may far exceed expectations! Are you ready to welcome a new wave of asset price increases?
