Global News | U.S. stocks fluctuate, Tesla plans to gradually cease production of Model S and Model X

【U.S. Stock Indices】

On January 28th (Wednesday) Eastern Time, the three major U.S. stock indices moved in different directions. The S&P 500 fell 0.01% to 6,978.03 points; the Dow Jones rose 0.02% to 49,015.60 points; and the Nasdaq rose 0.17% to 23,857.45 points.

【U.S. Treasuries】

On January 28th, the benchmark 10-year U.S. Treasury yield was 4.26%, and the 2-year U.S. Treasury yield—most sensitive to Federal Reserve policy rates—was 3.56%.

【Popular U.S. Stocks】

Among popular U.S. stocks, Nvidia rose 1.59%, Google C rose 0.38%, Google A rose 0.44%, Apple fell 0.71%, Microsoft rose 0.22%, Amazon fell 0.68%, TSMC rose 1.14%, Meta fell 0.63%, Tesla fell 0.10%, Advanced Micro Devices rose 0.28%, and Intel rose 11.04%.

【Global Indices】

【China Indices】

On January 28th, overnight Hang Seng Tech Index futures rose 2.69%, the Nasdaq China Golden Dragon Index rose 0.32%, and the FTSE China A50 Index fell 0.07%.

【Chinese Concept Stocks】

In terms of popular Chinese concept stocks, Tencent Holdings ( (Hong Kong stocks )) rose 2.31%, Alibaba rose 1.70%, Pinduoduo fell 3.84%, NetEase rose 1.46%, Baidu rose 0.02%, Ctrip fell 0.06%, Li Auto rose 2.39%, Xpeng Motors rose 0.51%, and NIO fell 1.08%.

【Forex and Commodities】

【Global Breaking News】

Tesla to Stop Model S and Model X Projects

Tesla CEO Elon Musk said that capital expenditure in 2026 will be “very large”; it is expected that starting next quarter Tesla will begin gradually stopping the production of Model S and Model X, with the Fremont factory being converted to produce Optimus humanoid robots. Tesla’s CFO said that starting from this quarter, Tesla will fully shift to an FSD subscription model. Capital expenditure in 2026 is expected to exceed $20 billion. (Cailian Press)

Probability of the Fed Keeping Rates Unchanged in March: 86.5%

According to CME “FedWatch,” the probability that the Fed will cut rates by 25 basis points by March is 13.5%, and the probability of keeping rates unchanged is 86.5%. The probability that the Fed will cumulatively cut rates by 25 basis points by April is 24.1%, with a 74% chance of keeping rates unchanged, and a 2.0% chance of a cumulative 50 basis point cut. (Cailian Press)

Nasdaq China Golden Dragon Index Closes Up 0.32%

Popular Chinese concept stocks moved unevenly; the Nasdaq China Golden Dragon Index closed up 0.32%, Bilibili rose more than 3%, Li Auto rose more than 2%, Alibaba rose more than 1%, and Bawang Tea and NIO fell more than 1%.

Fed Chair Powell Tells His Successor: “Keep Clear of U.S. Politics”

On January 28th local time, Fed Chair Powell said he recommended that the next Fed chair “keep clear of U.S. politics.” Earlier that day, the Fed released the latest minutes from its monetary policy meeting and announced that the target range for the federal funds rate would be maintained unchanged between 3.5% and 3.75%. Afterwards, Fed Chair Powell held a press conference on the decision and took questions from reporters on issues including the current state of the U.S. economy and the next chair of the Fed. Powell said that over the past year, the effect of tariff increases on consumer prices has basically been fully transmitted; “we expect that the impact of tariffs on goods prices will reach a peak and then start to decline, provided that no new major tariff increase measures are introduced—this is also what we expect to see this year.” He said that inflation in the U.S. this year is broadly in line with expectations, but as for the timing or pace of any further easing policies, the Fed has not made any decisions yet. (CCTV News)

Fed Chair Powell Recommends the Next Fed Chair Keep Clear of U.S. Politics

Fed Chair Powell said he recommended that the next Fed chair keep clear of U.S. politics. (Cailian Press)

The Candidate for Fed Chair Nominated by Trump May Be Announced in About a Week

U.S. Treasury Secretary Bessent said that the candidate for Fed chair nominated by Trump may be announced in about a week. (Cailian Press)

Powell: We May See Some Jobs Replaced by Artificial Intelligence in the Short Term

Fed Chair Powell said that in the short term we may see some jobs replaced by artificial intelligence, and it is still unclear what the overall impact will be. (People’s Financial News)

Powell: Do Not Believe the Fed Will Lose Its Independence

Powell declined to comment on TILLIS’s promise to block the nominee. Powell said that he does not believe the Fed will lose its independence. If the Fed loses its independence, its credibility will be difficult to restore. (Cailian Press)

Powell: Most of the Inflation Above Expectations Comes from Tariffs, Not Demand

Fed Chair Powell said that much of the impact from tariffs has already been transmitted into the U.S. economy. Tariffs may lead to a one-time increase in prices. Most of the inflation above expectations comes from tariffs, rather than demand. Core PCE, excluding the impact of tariffs on goods, is slightly above 2%. The Fed expects that this year the impact of tariffs on goods will peak and then fall back. If this happens, it will indicate that the Fed can ease policy. If downside risks to the labor market reappear, they must also be watched. (Cailian Press)

Intel Shares Extend Their Upward Momentum

Intel shares extend their upward momentum. The latest price was $49.19, up 12%.