Overnight US stocks | Walmart Inc.'s performance puts pressure on the three major indices, while Chinese concept stocks rise against the market trend.

On Thursday, the three major indexes fell, with retail giant Walmart Inc. (WMT.US) releasing performance guidance below expectations, putting pressure on the major stock indexes. [America] As of the close, the Dow Jones Industrial Average fell 450.94 points, or 1.01%, to 44176.65 points; the Nasdaq fell 93.89 points, or 0.47%, to 19962.36 points; the S&P 500 fell 26.63 points, or 0.43%, to 6117.52 points. Walmart Inc. fell 6.5%, Tesla, Inc. (TSLA.US) and Amazon.com, Inc. (AMZN.US) both fell over 1.5%. The Nasdaq China Golden Dragon Index closed up 1.6%, Alibaba Group Holding Limited Sponsored ADR (BABA.US) rose 8.1%, GDS Holdings Ltd. Sponsored ADR Class A (GDS.US) rose nearly 13%, NetEase Inc Sponsored ADR (NTES.US) fell over 2%. [European stocks] The German DAX30 index fell 0.53%, the UK FTSE 100 index fell 0.57%, the French CAC40 index rose 0.15%, and the Euro Stoxx 50 index fell slightly. [Asia-Pacific stocks] The Nikkei 225 index fell more than 1.2%, the Korean KOSPI index fell 0.65%, and the Indonesia Composite index fell 0.1%. [Cryptocurrency] Bitcoin rose over 1.7% to $98294.78 per coin. U.S. President Trump stated that he has signed an executive order to position the U.S. as a leader in artificial intelligence and end the previous administration's "persecution" of Bitcoin and cryptocurrencies, marking the dawn of a new era for digital assets. [Gold] Spot gold rose 0.22% to $2939.74 per ounce, rising to $2954.84 per ounce at 18:25 Beijing time before falling back, with a significant downward trend after the release of the U.S. job data weekly report at 21:00, hitting a daily low of $2924.23 at 22:14 (before the U.S. market opened). COMEX gold futures rose 0.67% to $2955.80 per ounce. [Oil] New York Mercantile Exchange March delivery of West Texas Intermediate crude oil (WTI) futures rose 32 cents, or 0.44%, to close at $72.57 per barrel. The European Intercontinental Exchange, Inc. April delivery of Brent crude oil futures rose 44 cents, or 0.58%, to close at $76.48 per barrel. [Dollar] At the New York close, the ICE U.S. Dollar Index fell 0.73% to hit a daily low of 106.371, in a downtrend throughout the day. The day's trading range was between 107.153 and 106.371 points, dropping below the 100-day moving average (which has moved up to 106.448 points), approaching the December 9, 2024, bottom of 105.798, which had reached a high of 110.176 on January 13. The Bloomberg U.S. Dollar Index fell 0.68% to hit a daily low of 1282.87, fluctuating downward throughout the day. The day's trading range was between 1292.41 and 1282.87 points, also dropping below the 100-day moving average (currently at 1283.59 points), approaching the December 10 bottom of 1279.34, which had reached a high of 1325.10 on February 3. [Macro news] U.S. initial jobless claims rise moderately. Initial claims for unemployment benefits in the U.S. increased by 5,000 to 219,000 last week, compared to an estimate of 215,000. The survey of 41 economists ranged from 190,000 to 221,000. The 4-week moving average was 215,300. In the week ending February 8, continued claims for unemployment benefits increased by 24,000 to 1.869 million. Survey shows cooling outlook for Philadelphia area manufacturing. The pace of expansion in manufacturing activity in the Philadelphia area was much slower this month, offsetting some of the acceleration seen earlier in the year. The Philadelphia Fed's business activity index fell from 44.3 in January to 18.1 in February. However, this data was above zero, indicating a slight expansion in economic activity for the month. The survey indicated that indicators such as new orders, shipments, and employment were lower than in January, but still at high levels. About 41% of companies reported increased activity this month, down from last month's 51%; 23% of companies reported a decrease in activity, up from 7% in January. However, the Philadelphia Fed noted that the price index had reached a two-year high, signaling continued pressure on inflation. Despite this, the survey showed that businesses still anticipate growth in the economy over the next six months, although this optimism is not as widespread as it was last month. Fed Vice Chairman warns on departure, emphasizes importance of central bank independence and the need to focus on risks. The Fed's top regulator is urging regulators to closely monitor some ongoing risks. In remarks prepared for a speech at the Georgetown University Law Center on Thursday, Federal Reserve Vice Chairman Quarles emphasized the importance of the central bank's independence from political interference. "I am strongly of the view - as Chairman Powell has expressed publicly many times - that the independence of the Federal Reserve is crucial to our ability to fulfill our statutory responsibilities and serve the American public. Simply put, our mission is too important to allow such a dispute to distract us from working for the American people," he said. Quarles is set to step down as Federal Reserve Vice Chairman for Supervision on February 28 unless a successor is confirmed by that date. His departure has fueled uncertainty about the prospects for proposals demanding the largest U.S. banks to hold more capital to cushion against losses. Quarles emphasized the need to address challenging issues such as climate change and non-banking sectors, while also stressing the importance of maintaining the credibility of stress tests and regulation. He also underscored the need to adhere to and complete reforms following the 2008 financial crisis.The Fed is expected to cut interest rates twice by 2025, but there is a general uncertainty. Atlanta Fed President Stick stated on Thursday that, although there is still significant uncertainty regarding the impact of President Trump's trade and immigration policies, the Fed should still be able to cut rates by 50 basis points this year. "My baseline prediction is for two 25-basis-point rate cuts, but there is considerable uncertainty surrounding that prediction... There are many things that could have a two-way impact on it." Stick does not believe that the US is facing a new round of rapid inflation, but he added that the business community is "generally concerned" about the potential impact of new tariffs, immigration policies, and regulatory adjustments on the outlook. Stick does not have voting rights this year.Federal Reserve's Moulame warns of rising inflation expectations and stagflation risks, highlighting potential difficult choices. Federal Reserve's Moulame mentioned the two major risks of rising inflation expectations and difficult-to-address stagflation on Thursday, underscoring the potential difficult choices facing the Fed. Moulame said that while many of his colleagues believe that inflation expectations are anchored, he is concerned that recent data shows that inflation expectations may be rising, which could force the Fed onto a more restrictive path. Moulame did not give his current view on rate cuts for this year in his speech. However, his warning suggests that the Fed's main theme of declining inflation and eventual further rate cuts may become more complex, but this outlook is still the baseline prediction, even as officials acknowledge that new import tariffs and immigration rules from the Trump administration may impact prices. US media: OpenAI reaches 400 million weekly active users. Reports indicate that despite increasing competition, OpenAI's development seems to be progressing rapidly. OpenAI's Chief Operating Officer Brad Lightcap stated that as of February this year, the company has reached 400 million weekly active users, a 33% increase from 3 billion in December. Lightcap pointed out that with the increasing utility and familiarity of ChatGPT to a broader audience, the growth in users is "natural." Lightcap added, "Overall, people really want these tools and see real value in them." This effect has also extended to their growing enterprise business. Lightcap mentioned that the company now has 2 million paid enterprise users, roughly double from September. According to Lightcap, developer traffic has also doubled in the past six months, with the "inference" model GPT-3 seeing a fivefold increase in developer traffic. [Stock News] Meta(META.US) price surge may trigger calls for stock split. Meta Platforms recently set a record with a 20-day consecutive rise, pushing stock prices to a record high, with a more than 20% increase this year, making it the best-performing of the "Big Seven" in 2025. Investors may begin asking the company for its first stock split since going public in 2013. Meta is the only company among tech giants that has never split its stock. In 2024, following a surge in stock prices driven by the AI boom, companies like NVIDIA Corporation and Broadcom Inc. conducted stock splits, "They want more people to be aware of their stock," said Francisco Bido, Senior Vice President at F/M Investments, "It may also be a show of confidence from the company." According to data from BofA analysts, 17 companies in the S&P 500 index split their stocks last year, the highest since 2013. Tech companies have also started adopting this strategy, with 7 companies in the Nasdaq 100 index splitting their stocks in 2024, compared to none a year before. Stock splits can also stimulate bullish sentiment, with an average return of 25% one year after a split, compared to the market's 12% return. AstraZeneca PLC Sponsored ADR(AZN.US) to acquire Fabochin in China for around $160 million and gain exclusive rights to Rosatother in China. AstraZeneca PLC Sponsored ADR has reached an agreement with Fabochin Limited to acquire Fabochin in China for around $160 million. Under the terms of the agreement, Fabochin will receive an enterprise value of $85 million, as well as around $75 million in cash held by Fabochin in China at the time of the transaction, totaling approximately $160 million. The transaction is expected to be completed in mid-2025, subject to customary closing conditions including regulatory reviews in China. Upon completion of the transaction, AstraZeneca PLC Sponsored ADR will gain exclusive rights to Rosatother in China. Fabochin will retain its rights to Rosatother in the US and markets not authorized to AstraZeneca. Alibaba Group Holding Limited Sponsored ADR(BABA.US) and Chinese stock ETF call options soar. Alibaba Group Holding Limited Sponsored ADR and call options on two Chinese stock ETFs surged after the company's financial report was released. After Alibaba Group Holding Limited Sponsored ADR reported quarterly revenue that exceeded expectations, options trading volume soared to the highest level since December 2020. As of now, 1.25 million contracts have been traded, compared to an average of about 509,000 contracts. Call options expiring on Friday with a strike price of $140 saw over 60,000 contracts traded, with prices ranging from $0.59 to $5.50. Call options on iShares Core MSCI China Index ETF (FXI), a large-cap stock ETF, also saw active trading, with a bulk transaction of 9,950 contracts on call options expiring on February 28th with a strike price of $36, at a price of $0.72 per contract. Options trading on KraneShares KWEB China Internet ETF also saw a surge in volume, with 50,000 contracts traded on a call spread with a strike price of $33/$37 expiring in March, at a price of $2.17 per contract.