Overnight US stocks | Tech stocks continue to fall, with the Nasdaq plunging 2.2% and the Philadelphia Semiconductor Index dropping 7.8%.

On Tuesday, the three major indices fell, with the Nasdaq plummeting 2.2%, and tech stocks continuing the decline from yesterday. The Nasdaq index had already fallen 1.3% in Monday's trading session, mainly dragged down by Alphabet (GOOG.US, GOOGL.US). Subsequently, selling spread globally, with the South Korean KOSPI index leading declines in the Asia-Pacific region. Memory chip leader SK Hynix closed down more than 12%. The Korean benchmark index, which has risen 95% so far this year, fell nearly 10% on the day, while the Japanese Nikkei 225 index fell 3.55%, ending an eight-day rally. [US Stocks] At the close, the Dow fell 45.87 points, or 0.09%, to 51,666.84 points; the Nasdaq fell 579.56 points, or 2.21%, to 25,587.03 points; the S&P 500 index fell 107.33 points, or 1.44%, to 7,365.46 points. SpaceX (SPCX.US) rose 1%, the Philadelphia Semiconductor Index fell 7.8%, Marvell Technology, Inc. (MRVL.US) fell 9%, Micron Technology, Inc. (MU.US) fell 13%, NVIDIA Corporation (NVDA.US) fell 4%. The Nasdaq Golden Dragon Index fell 0.55%, XPeng, Inc. ADR Sponsored Class A (XPEV.US) fell more than 4%. [European Stocks] The Germany DAX30 index fell 237.30 points, or 0.94%, to 24,914.18 points; the UK FTSE 100 index rose 1.37 points, or 0.01%, to 10,439.22 points; the France CAC40 index fell 59.40 points, or 0.71%, to 8,340.71 points; the EuroStoxx 50 index fell 75.96 points, or 1.20%, to 6,235.36 points; the Spain IBEX35 index fell 93.84 points, or 0.48%, to 19,481.46 points; the Italy FTSE MIB index fell 755.28 points, or 1.43%, to 52,041.50 points. [Asian Stock Markets] The Nikkei 225 index fell 3.55%, the South Korea Composite Stock Price Index fell 9.99%, and the Indian Sensex index fell 1.16%. [US Dollar Index] The US dollar index, which measures the US dollar against six major currencies, rose 0.38% on the day to close at 101.408 in the forex market. At the close of the New York forex market, 1 euro exchanged for 1.1379 US dollars, down from 1.1424 US dollars the previous trading day; 1 pound exchanged for 1.3188 US dollars, down from 1.3244 US dollars the previous trading day. 1 US dollar exchanged for 161.57 Japanese yen, up from 161.42 Japanese yen the previous trading day; 1 US dollar exchanged for 0.8100 Swiss francs, up from 0.8091 Swiss francs the previous trading day; 1 US dollar exchanged for 1.4214 Canadian dollars, up from 1.4157 Canadian dollars the previous trading day; 1 US dollar exchanged for 9.7466 Swedish krona, up from 9.6212 Swedish krona the previous trading day. [Cryptocurrency] Bitcoin rose 0.9% to above $64,000; Ethereum rose nearly 1% to $1,735.28. [Crude Oil] Light, sweet crude oil futures for August delivery on the New York Mercantile Exchange fell 65 cents to close at $73.21 per barrel, down 0.88%; Brent crude oil futures for August delivery fell 82 cents to close at $77.08 per barrel, down 1.05%. [Precious Metals] Spot gold fell 1.97% to $4,109.88 an ounce; spot silver was trading at $61.602 per ounce. [Macro News] Dallas Fed: US economy more resilient to oil price shocks than in the 1980s. A recent study by the Dallas Federal Reserve estimates that a springtime surge in oil prices to over $120 a barrel reduced U.S. economic output by about 0.3 percentage points, a much lower impact than similar oil shocks in the 1980s when the U.S. was more reliant on oil imports. A war launched by the U.S. against Iran led to a roughly 15% reduction in global oil supply, disruptions in the shipping lanes in the Strait of Hormuz, and turbulence in global commodity markets, with rising prices, supply shortages in some regions, and overall declining demand. Fed rate hike bets heat up, US dollar rises to highest level since November. The U.S. dollar touched its highest level since November last year on Tuesday as traders solidified their expectations of Fed rate hikes this year. The Fed's policy outlook contrasts with other central banks around the world. Traders currently expect nearly two 25-basis-point rate hikes by the U.S. in early 2027. Jordan Rochester, a strategist at HSBC International, stated, "The dollar has room to rise, with the dollar typically strengthening before Fed rate hikes; the market is currently discussing the possibility that the rate hike cycle could start in September." Meanwhile, the euro fell to its lowest level in a year after remarks from ECB President Lagarde led traders to trim bets on rate hikes in the region. The yen continued to face pressure as the market believes the Bank of Japan's rate hikes are not enough to curb the yen's decline, keeping traders vigilant against potential forex interventions. Watch as Atlanta Fed Chair becomes a window to observe how to reshape the Fed. As the selection process for a new chair of the Atlanta Federal Reserve Bank enters its seventh month, the recruitment process is closely watched. Observers hope to see how the new Fed Chair, Wash, will reshape the Federal Open Market Committee (FOMC) responsible for setting interest rate policies. As Wash begins to exert personal influence at the Fed, the selection process has also changed. According to two people familiar with the recruitment process, the Fed had been searching for candidates for the Atlanta Fed chair position during Powell's tenure as the former Fed Chair. However, the selection process was temporarily halted to allow Wash to lead the appointment process. While the search work is still ongoing, both sources requested anonymity. They indicated that Michael Faulkender, a former senior official at the Treasury Department under President Trump, has since been included on the list of candidates for the Atlanta Fed chair position. It is not yet clear whether Faulkender is still a candidate. [Stock News] SpaceX testing the bond market with plans to issue $25 billion in bonds. SpaceX is preparing for its first bond issuance, planning to raise $25 billion; this move aims to test fixed-income investors' confidence in Elon Musk's grand vision for the company's future. The Texas-based rocket manufacturing and artificial intelligence company is increasing investments to expand its business, and this bond issuance is seen as a barometer for more future financing transactions. A buyer of one institution said on Monday, "Banks are hopeful that this transaction will provide investors with a good return and leave a positive impression because SpaceX may come back in the next few years seeking another $10 billion in refinancing." The bonds issued cover terms ranging from 5 to 30 years. At the time of issuance, large tech stocks are experiencing another round of declines, with concerns about overvaluation and the prospect of rising interest rates. Morgan Stanley's private credit fund sets redemption limit at 5%. A private credit fund under Morgan Stanley with a size of $7 billion has set a redemption limit for investors at 5%, only allowing redemption of less than half of the share requested by investors in the second quarter. The "North Haven Private Income Fund" stated in a letter on Tuesday that investors applied for redemption of their holdings at 11.6% in the second quarter, higher than the 10.9% in the first quarter. In the approximately $1.8 trillion private credit market, as many funds have already restricted full exits in the previous quarter, overall redemption requests have generally increased this quarter. The fund stated in the letter that over half of the redemption requests in the second quarter came from investors who were unable to fully redeem their funds in the previous three months. Baird: Expects Tesla, Inc. and SpaceX to possibly merge. Analyst Ben Kallo of Baird predicts that Tesla, Inc. (TSLA.US) will deliver 392,900 vehicles in the second quarter. He added that the total deliveries of this electric vehicle company are expected to reach 1.68 million vehicles by 2026. The analyst wrote, "We believe a merger between SpaceX (SPCX.US) and Tesla, Inc. is likely, and is expected to take 12 to 18 months." He also added that the merger of the two companies is the "ultimate direction", and "it is clear and convincing that both companies will benefit from a larger scale." Kallo reiterated his "outperform the market" rating on Tesla, Inc. with a target price of $522.