Overnight US stocks | Three major indices fell, spot gold broke through $4300, breaking three round hundred levels this week.

On Thursday, the three major indices closed lower. The U.S. government shutdown continues, with the U.S. Senate voting 51 to 45 to once again fail to advance the temporary funding bill proposed by the Republican Party. It is reported that the Republicans needed 60 votes to advance the bill that would fund the government until the end of November. This marks the tenth consecutive vote in the Senate over the past two weeks since the government shutdown was initiated, with all votes rejecting the temporary funding bill. In addition, there is a new crisis in the U.S. regional banks, dragging down bank stock prices. Two Bank of America Corp entities stated that they were defrauded when providing loans to funds for bad commercial mortgage loans, exacerbating concerns in the market over the credit crisis. Zions Bancorporation, N.A. (ZION.US) plummeted by 13.14% due to large provisions made for bad debts by several borrowers. Western Alliance Bancorp (WAL.US) fell by 10.81% after being accused of fraudulent activities by a borrower. U.S. StocksAt close, the Dow Jones Industrial Average fell 301.07 points, or 0.65%, to 45952.24 points; the Nasdaq fell 107.54 points, or 0.47%, to 22562.54 points; the S&P 500 fell 41.99 points, or 0.63%, to 6629.07 points. European StocksThe Germany DAX30 index rose 91.56 points, or 0.38%, to 24272.93 points; the UK FTSE 100 index rose 11.34 points, or 0.12%, to 9436.09 points; the France CAC40 index rose 110.36 points, or 1.37%, to 8187.36 points; the Euro Stoxx 50 index rose 44.20 points, or 0.79%, to 5649.23 points; the Spain IBEX35 index rose 55.00 points, or 0.35%, to 15625.30 points; and the Italy FTSE MIB index rose 467.28 points, or 1.12%, to 42374.18 points. Crude OilLight crude oil futures for November delivery on the New York Mercantile Exchange fell by 81 cents to close at $57.46 per barrel, a decrease of 1.39%; and Brent crude oil futures for December delivery fell by 85 cents to close at $61.06 per barrel, a decrease of 1.37%. CryptocurrenciesBitcoin fell by 0.38% to $108,145.5, and Ethereum fell by 0.86% to $3,874.5. U.S. Dollar IndexThe U.S. dollar index, which measures the dollar against six major currencies, fell by 0.46% to close at 98.341 in the foreign exchange market. At the close of the New York foreign exchange market, 1 euro exchanged for 1.1689 dollars, higher than the previous trading day's 1.1633 dollars; 1 pound exchanged for 1.3436 dollars, higher than the previous trading day's 1.3383 dollars. 1 dollar exchanged for 150.30 yen, lower than the previous trading day's 151.33 yen; 1 dollar exchanged for 0.7934 Swiss francs, lower than the previous trading day's 0.7975 Swiss francs; 1 dollar exchanged for 1.4046 Canadian dollars, lower than the previous trading day's 1.4052 Canadian dollars; and 1 dollar exchanged for 9.4201 Swedish kronor, lower than the previous trading day's 9.4855 Swedish kronor. Precious MetalsSpot gold surpassed $4300 per ounce for the first time, reaching $4,329.18 by the close of Thursday. U.S. BondsData shows that the yield on the 10-year U.S. Treasury bond fell to a low of 3.975%, the first time dropping below 4% since mid-September, and the lowest intraday level since shortly after Trump announced comprehensive tariffs in early April. With rising bond prices, U.S. bond yields naturally decline. Due to concerns over the economic health, U.S. bond yields have recently decreased, increasing speculation that the Fed may cut interest rates in the coming months. On Thursday, confidence in the economy was further slightly dampened after two regional banks reported problems with their loan accounts, leading to a decline in regional bank stocks and dragging down the indices in the afternoon trading. Macro News U.S. homebuilder confidence rose to a six-month high. Encouraged by the potential boost in housing demand and the alleviation of long-term oversupply due to a decline in mortgage rates, U.S. homebuilder confidence rose to a six-month high in October. The NAHB Housing Market Index for October increased by 5 points to 37, reaching its highest level since April, but it has been below the 50 threshold indicating a balance between positive and negative sentiment for 18 consecutive months. Despite the decrease in mortgage rates following the Fed's rate cuts, homebuyers remain cautious amid a weak labor market and uncertain economic outlook. NAHB Chairman Buddy Hughes stated, "The recent decline in mortgage rates signals an improvement in housing affordability, but the market overall remains challenging. Most buyers are still cautious." The survey showed that the current sales conditions index rose by 4 points to 38 this month, the future sales expectations index surged by 9 points to 54, and the prospective buyer traffic index increased by 4 points to 25. Multiple data points to a slowdown in U.S. consumer spending in September. Multiple credit card transactions and private sector data indicate that consumer demand in the U.S. slowed down last month. Economists analyzing high-frequency expenditure data including credit card lending and same-store sales, stated that consumers are beginning to tighten their spending after strong retail activity with a 4.1% annualized growth rate over the past three months. Bank of America Corp economist Shruti Mishra noted, "There has been a trend of monthly slowdown in spending from June to August, and you won't see the growth rates that we saw previously." Data from credit and debit card platform Second Measure show that consumers' willingness to purchase non-essential items such as furniture, electronics, and appliances weakened last month. Bank of America Corp's credit card data also indicates cooling demand. Economists at Barclays PLC Sponsored ADR stated that based on a model that includes disposable income, stock market wealth, inflation, consumer confidence, and credit card spending, the momentum of retail sales in September "may have weakened." Trump claims to have accomplished "magic" to reach an agreement to lower beef prices. During an event in the Oval Office, U.S. President Trump stated that his administration had reached an agreement to lower beef prices for consumers. Trump did not provide details on the measures the federal government had taken, but acknowledged that beef was an area where their efforts to combat inflation fell short. Trump said, "We are dealing with the beef problem, and I think we've got an agreement that's going to bring the price of beef down. Beef is the only thing where we haven't been happy with the price, it's a little bit higher, even too high, and that's coming down too. We did some things, and we did some magic." Just a few days ago, Trump hosted Argentine President Mile at the White House to discuss trade and finance. The U.S. is a significant importer of Argentine beef, but imports are subject to annual quotas, and tariffs are imposed if quotas are exceeded. Due to droughts and high costs, U.S. ranchers have had to slaughter more cattle. As of July, the number of cattle in the U.S. fell to the lowest level recorded since 1973. According to data from the U.S. Bureau of Labor Statistics, the average price for ground beef purchased by U.S. consumers in August set a record at $6.318 per pound. Report: White House plans to extend tariff exemptions for imported car parts. The White House is reportedly preparing to ease tariffs for America's Car-Mart, Inc., a move seen as a major victory for car manufacturers who have been actively lobbying to mitigate the impact of record-high import tariffs. According to sources familiar with the matter, the U.S. Department of Commerce plans to announce a five-year extension of an arrangement that allows car manufacturers to reduce tariffs on imported car parts. The provision was originally set to expire in two years. The announcement is expected to be made as early as Friday, but similar tariff announcements have been delayed in the past. The policy is expected to be detailed in government documents and would also officially implement tariffs on imported trucks. Previously, automakers including Ford and General Motors lobbied for months to ensure exemption from tariffs imposed by Trump. U.S. automakers face higher costs due to tariffs on imported vehicles, components, steel, aluminum, and other raw materials. Following the news, General Motors Company rose by 3.8% in after-hours trading, and Ford and Stellantis (STLA.N) also saw increases in their stock prices. U.S. Budget for Fiscal Year 2025 Deficit Decreases by $41 Billion to $1.775 Trillion. According to a report from the U.S. Department of the Treasury on Thursday, with Trump's tariffs contributing to an increase in revenue by $118 billion, the budget deficit for fiscal year 2025 in the U.S. decreased by $41 billion to $1.775 trillion. The deficit for fiscal year 2024 was $1.817 trillion. This is the first time the annual deficit has decreased since 2022, when the relief programs from the pandemic led to a decrease in spending. The decrease in the deficit is attributed to a record net tariff revenue of $195 billion in this fiscal year, which increased by $118 billion compared to the previous year with the implementation of new Trump tariffs. Total revenue for fiscal year 2025 reached a record $5.235 trillion, an increase of $317 billion over fiscal year 2024's $4.918 trillion, representing a 6% growth. Expenditures for fiscal year 2025 also reached a record $7.01 trillion, an increase of $275 billion over the previous fiscal year's $6.735 trillion, representing a 4% growth. Treasury officials stated that the deficit for fiscal year 2025 is estimated to be 5.9% of GDP, compared to the actual deficit-to-GDP ratio of 6.3% for fiscal year 2024. Additionally, the Treasury report stated that September, the final month of fiscal year 2025, recorded a record surplus of $198 billion, an increase of $118 billion over the same period the previous year, representing a 147% increase. Individual Stock News Growing concerns over the U.S. credit crisis lead to over $100 billion market value evaporation of bank stocks. Compared to the collapses of First Brands Group and Tricolor Holdings, the losses disclosed by regional lending institutions Zions Bancorporation, N.A. (ZION.US) and Western Alliance Bancorp (WAL.US) appear relatively smaller, in the millions rather than billions of dollars. However, the consecutive revelations of loan fraud cases have once again sparked debate on Wall Street: will the era of laissez-faire capital have both banks and non-bank institutions paying the price together. In the cases of Zions Bancorporation, N.A. and Western Alliance Bancorp, the suspected scammers are the same: funds borrowed by Andrew Stupin, Gerald Marcil, and others related to investment funds were used to purchase bad commercial mortgage loans. These disclosures, along with other recent loan defaults, like the bankruptcy filing of subprime auto lender Tricolor Holdings last month, which nearly wiped out all of its debts, caused a major auto parts supplier, First Brands Group, to declare bankruptcy and owe over $10 billion to some of Wall Street's largest Financial Institutions, Inc. The stock market reaction was strong: on Thursday, over $100 billion in market value of the top 74 U.S. banks evaporated. Apple Inc. (AAPL.US) plans to introduce a Mac computer with a touch screen and M6 chip. Apple Inc. is reportedly preparing to launch a Mac laptop with a touch screen, the new MacBook Pro will be equipped with a touch display, a thinner and lighter body, and the new M6 series chip. This new laptop will utilize OLED display screen technology while retaining a full touchpad and keyboard, allowing users to freely choose between touchscreen and traditional control methods. The touchscreen MacBook Pro is expected to be released in late 2026 or early 2027, and due to the use of higher cost components, its price may be several hundred dollars higher than the current version. Major Bank Ratings Deutsche Bank Aktiengesellschaft: Raised the target price for ASML Holding NV ADR (ASML.US) from 900 to 1000, maintaining a "Buy" rating.