Today is the fifth day of the first month of the Year of the Dragon, and the Chinese are busy welcoming the God of Wealth. However, when we were busy eating Chinese New Year's Eve dinner and visiting relatives and friends a few days ago, foreigners seemed to have stolen our God of Wealth. In the past few days of the Spring Festival, the peripheral markets have gone crazy, and the world's largest companies are busy hitting new highs under the pull of U.S. stocks, and even Bitcoin has regained its high level of $50,000, and the money-making effect is too obvious, only Chinese investors are in the joyful atmosphere of the Spring Festival.
Last year's AI frenzy ignited Nvidia, making it the first chip stock with a market value of over a trillion dollars, with a current market value of 1$81 trillion, a fivefold increase since the beginning of last year, and a third since the beginning of this year. Such a sharp rise has also made Nvidia one of the seven technology giants on the NASDAQ in the United States.
And the best rally this year is another chip giant, Arm, which was in the limelight when sanctioning Huawei, and is currently held by Masayoshi Son of Japan's SoftBank. But in fact, the company's performance is very bad, just a chip design company, with an annual turnover of only $3 billion, and the latest market value has been speculated to more than $150 billion, with a price-to-earnings ratio of more than 1,000 times.
Comparing the many chip companies of Big A, which have been falling and falling endlessly in the past two years, we know how big the water is in the middle, and it is not an exaggeration to say that it is a market dream rate. The story told in the market is the explosion of AI, and the ARM architecture suddenly has more application scenarios. But in fact, it is not irreplaceable, there is no monopoly. Because of the sanctions against Huawei a few years ago, China's chip companies have found other spare tires, such as using RISC-V architecture.
Of course, this kind of increase is incomprehensible, and the only explanation is that the Americans took advantage of our Chinese to celebrate the Spring Festival and stole our God of Wealth. With the blessing of the God of Wealth, it is not uncommon for the United States to have any myths of making wealth. A few years ago, in order to cooperate with the United States to sanction Huawei, Son Zhengyi spent a huge amount of money to acquire ARM, and the loss was so bad that the pants were about to be lost, and the whole world was looking for a pick-up man, now it is good, Son Zhengyi holds more than 90% of ARM's shares, and this wealth alone is hundreds of billions of dollars, and he is one step closer to the richest man in the world.
Of course, not all U.S. stocks are rising, and Tesla, which is also one of the seven technology giants, is more miserable, falling 28% since the beginning of this year, and the market has rumored that Tesla is going to be expelled from the Big Seven. But Termus' performance is actually so good that it delivered 1.8 million electric vehicles last year, and more than 480,000 in the fourth quarter of last year alone. And Tesla's Modil Y sales are as high as more than 1 million units, which is twice as much as Toyota's best-selling model Corolla, and ** is also more than twice as much, isn't this performance impressive?
Such a dazzling performance is actually the only one among the seven technology giants. It's no wonder that Tesla was almost fired in bankruptcy in 2019, if it weren't for China's pull Tesla, there would be no electric vehicle industry in the United States.
The market is so crazy that it is expecting this wave of Fed interest rate hikes to come to an end. Since there is no interest rate hike, it is ironclad to cut interest rates and release water, and as long as it enters the cycle of interest rate reduction and water release, assets will naturally explode.
However, the latest inflation level in the United States for January was somewhat higher than expected, and the core CPI estimated by the market was only 29%, but the published data is 32%。Although the data may be made, the core CPI data of the United States will be higher, which means that the pace of interest rate cuts has been slowed down, and it is even possible to raise interest rates further, after all, the Federal Reserve has long been ruthless and wants to control CPI below 2%.
So, I didn't wait for the release of water, but waited for a basin of cold water poured by the Federal Reserve. If it weren't for the care of the God of Wealth, we really wouldn't be able to understand the recent rise in the United States. Of course, the United States still holds financial hegemony and has most of the pricing power of the world's assets, and it is the freedom of Americans to increase how to rise.
However, on the fifth day of the Lunar New Year today, we must also find a way to invite the God of Wealth back. I just don't know if the big A is really bullish, will the peripheral market form a warping effect and fall sound?