Breaking! $350 billion chip orders canceled, US companies lose $10 trillion in market value!
$350 billion in chip orders were suddenly canceled overnight, causing a stock price collapse for US companies like Intel and Qualcomm, with market value evaporating by over $10 trillion! Foreign media marvel at: 'China is serious this time!' Bill Gates' prophecy has come true: '
No matter how much the US restricts, it cannot stop China from becoming a technological powerhouse!'
Trump is also restless! At a joint session of Congress, he launched a fierce attack, criticizing the 'CHIPS and Science Act' as 'terrible' and 'useless', and strongly demanded its repeal.
The catalyst for this upheaval is China's customs data—chip imports plummeted by 21% year-on-year. Those huge orders that were originally directed to US companies have vanished.
Even Bill Gates, who once advocated for a blockade against China, publicly opposed such mindless sanctions, warning: 'Restricting exports to China may backfire on the US, resulting in a loss of its leading position.'
[Traders increase bets on Fed rate cuts]
After the release of US CPI data, US short-term interest rate futures rose, with traders increasing their bets on the Fed cutting rates. The market almost fully prices in a Fed rate cut in June. Traders have raised their bets on a full one percentage point rate cut by the Fed before the end of the year.
According to CME's 'FedWatch': The probability of the Fed keeping rates unchanged in May has dropped to 79.1%, while the probability of a 25 basis point rate cut has risen to 20.9%.