Stocks sold off on Thursday, powered by the ECB to raise interest rates in July, and the selling pressure piled up as major indexes sold off aggressively. The S&P 500 sold off a critical level of 4070s level where it has strong buyers support. Since there are no buyers at this level, bullish investors seem to have lost quite a bit of confidence.
🧸ECB: Joining the inflation fight🔦
Indeed, ECB is now joining major central banks globally to raise interest rates as consumer prices keep soaring. ECB President Christine had pledged to raise rates and pause bond purchases in July.
It is an aggressive approach and promised aggressive rate hikes. Yet the outlook in Europe is different from those in the US. The economy in the US is stronger; any cut in monetary support might cause the economy in Europe to wobble.
🏋NIO: A fell off in earnings📉
According to its latest earnings report, the Chinese electric-car maker fell sharply after its margin was hit hard. The reduced margin was not all bad news, though. Pika World sees positivity in its massive investment in expanding its power and service network as sales rose.
The first quarter delivery of 25,768 cars is consistent with forecasts. However, it is down from the peak due to Covid restriction that dampens production and results in parts storage for car businesses.
Pika World will be exploring accumulation in any massive pullback on the general market.
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