Breakfast | Goldman Sachs is bullish on the S&P 500 to 6000 points, "US-China relations have rebounded from the bottom"

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Overnight Morning Market

Last week, the Dow rose by 1.97%, the S&P 500 rose by 2.29%, and the Nasdaq rose by 2.85%. The Hang Seng Index in Hong Kong fell by 1.32%; the Hang Seng TECH Index fell by 2.65%.

This Friday, due to Good Friday, stock markets in the United States, Europe, Canada, and other regions will be closed.

This week, the Boao Forum for Asia Annual Conference 2024 will be held. On Wednesday, BIDU-SW will hold a product launch event for intelligent cloud large models. On Thursday, Xiaomi SU7 will announce pricing. On Friday, Federal Reserve Chairman Powell will deliver a speech, and the US will release the Personal Consumption Expenditures (PCE) Price Index for February. The Hong Kong Stock Exchange will include currency futures and options in holiday trading for derivative products.

This week, companies such as PetroChina, CM Bank, Leapmotor, China Telecom, Nongfu Spring, BYD Co., Fosun Pharma, China Life Insurance, ICBC, Evergrande Auto, Tianqi Lithium, Vanke, Country Garden, CCB, Ganfeng Lithium, etc., will announce their financial results.

Blue Chips and Hot Stocks

Media: iOS 18 to Introduce New Home Screen, Making iPhone "More Customizable"

Tech journalist Mark Gurman stated that Apple's iOS 18 will bring updates to the iPhone's home screen, making it "more customizable." Apple internally believes that iOS 18 will be its biggest update ever, with artificial intelligence being a key focus integrated into various parts of the operating system. iOS 18 will be released at the WWDC conference in June along with other software updates, including iPadOS 18, watchOS 11, visionOS 2, and the new macOS.

Media: CATL Plans to Build Electric Vehicle Battery Factory in the UK with a Capacity of 60GWh

CATL is in talks to invest in building a factory in the UK, with an expected investment of at least £1.2 billion, making it the largest super factory in the UK. Agreements are expected to be signed in the coming weeks.

Geely will launch a new generation of Thunder God hybrid system, with a maximum range of over 2000 kilometers on full tank and full charge, entering the era of 2L per 100 kilometers fuel consumption. The new generation Thunder God hybrid technology will debut within the year.

ZEEKR responds to "Display Car Accidentally Starts and Injures 5 People": No life-threatening injuries, a nationwide self-inspection has been initiated.

Global pharmaceutical giant AstraZeneca CEO Pascal Soriot announced investments of $700 million (approximately RMB 5.06 billion) in new drug factories in Qingdao and Wuxi, China.

Stephan von Schuckmann, director of German automotive parts supplier Continental AG, stated: Any speculation or discussion about supply chain relocation is not true. We have substantial investments and long-term plans.

Didi reported a revenue of 49.4 billion yuan in the fourth quarter of 2023, a year-on-year increase of 55.4%. The annual revenue was 192.4 billion yuan, a 37% increase.

China Evergrande: Withdraws the debt restructuring application previously filed with the US court.

Chips and Artificial Intelligence

Chinese Minister of Commerce Wang Wentao met with Lisa Su, Chairperson and CEO of AMD, Jeff Massa, Chairman and CEO of Medtronic, and Darren Woods, Chairman and CEO of ExxonMobil, consecutively AMD CEO Lisa Su: The company will continue to increase investment in China.

Apple CEO Tim Cook announced that Apple's head-mounted display product will be launched in China this year, and the company is continuously increasing its investment in research and development in China.

Media reports: Apple is looking for local AI providers in China.

Alibaba Cloud launches the "ModelScope-Sora Open Source Plan". Alibaba Cloud's Li Hong: It is expected that the year-on-year growth rates of inference computing power and training computing power will both reach 50% this year.

SenseTime's Xu Li: Currently, AI only solves less than 10% of the problems, and the breakthroughs it can bring to the production chain may still be limited.

360AI Browser app is about to be launched, supporting the processing of 5 million-word long texts.

Asmae supplier Newways will build a new factory in Malaysia, which is expected to start production in the fourth quarter of 2024.

Cryptocurrency

In the early Asian market, Bitcoin broke through $67,000.

IPO Opportunities

Sichuan Baicha Baidao Industrial Co., Ltd. has submitted listing hearing materials to the Hong Kong Stock Exchange, with China International Capital Corporation as the exclusive sponsor.

Macro: Taking You to See the World

Goldman Sachs: Mega-cap tech stocks may push the S&P 500 index to 6,000 by the end of this year

Goldman Sachs maintains its expectation that the S&P 500 index will reach 5,200 by the end of 2024. There is a possibility that the index will be further boosted by 15% by the end of 2024, driven by super-large market cap tech companies. Although the optimism about artificial intelligence seems high, the long-term growth expectations and valuations of mega-cap TMT stocks are far from reaching the level of a "bubble".

Orville Schell, Chairman of the National Committee on U.S.-China Relations: U.S.-China relations have rebounded from the bottom.

Chinese Premier Li Keqiang: Will increase the intensity of macroeconomic policy adjustments, further promote the construction of a unified national large market; protect the legitimate rights and interests of various types of enterprises in accordance with the law, and steadily promote institutional opening-up.

Zheng Zhajie, Director of the National Development and Reform Commission of China: Will promote equipment renewal in 7 major areas including industry, agriculture, construction, transportation, education, culture and tourism, and healthcare, with the potential to create a huge market scale of over 5 trillion yuan annually; promote the renewal and replacement of durable consumer goods such as automobiles, home appliances, and furniture, potentially unleashing a trillion-dollar market potential; promote the transformation from dual control of energy consumption to dual control of carbon emissions, requiring an additional investment of at least 2 trillion yuan annually before 2030.

The Moscow concert hall terrorist attack has resulted in 182 injuries and 137 fatalities. France has raised its national security alert level to the highest.

The initiator of the U.S. "Biological Security Act" suddenly resigned 7 months early. The "Biological Security Act" is currently in the "introduced" state, which means it has been submitted to the relevant legislative body, usually the first step in the life cycle of a bill