Market Performance - The S&P 500 index closed down 0.29% at 6449.8 points, while the Nasdaq Composite fell 0.4% to 21622.98 points. The Dow Jones Industrial Average managed a slight gain of 0.08%, closing at 44946.12 points, driven by UnitedHealth's performance [1] - Retail sales data for July showed a month-over-month increase of 0.5%, with a 0.3% increase when excluding automobiles, aligning with expectations. However, the University of Michigan Consumer Sentiment Index dropped to 58.6, marking its first decline since April [2] - For the week, the S&P and Nasdaq rose 0.94% and 0.81%, respectively, both reaching new historical highs. The Dow increased by 1.74%, nearing the 45000-point mark [2] Stock Performance - Major tech stocks experienced mixed results, with Apple down 0.51%, Microsoft down 0.44%, and Nvidia down 0.86%. Tesla saw a decline of 1.5%, while Meta rose by 0.4% [3] - Semiconductor equipment giant Applied Materials saw a significant drop of 14.07% due to disappointing revenue guidance, negatively impacting the sector. Other companies like KLA and Lam Research also faced declines of 8.42% and 7.33%, respectively [3] - Chinese concept stocks outperformed the broader market, with the Nasdaq Golden Dragon China Index rising by 0.74%. Notable performances included Pinduoduo up 3.67% and NIO up 8.09% [3] Company News - UnitedHealth experienced its largest single-day gain since 2008, rising by 11.98% after Berkshire Hathaway disclosed a stake of over 5 million shares in the company [4] - Other investors, including Michael Burry and David Tepper, also revealed significant holdings in UnitedHealth, contributing to a positive impact on the sector, with Centene, Molina Healthcare, and Elevance Health seeing gains between 4% and 6% [6] - The solar and renewable energy sectors surged due to new tax credit guidelines for clean energy projects, with Sunrun's stock soaring by 32.82% and SolarEdge Technologies rising by 17.10% [7] Additional Developments - Reports suggest the U.S. government is considering using funds from the CHIPS Act to acquire shares in Intel, leading to a temporary spike in Intel's stock price, which closed up 2.93% [8] - The CEO of Opendoor resigned amid investor pressure, with the company's stock rising by 4.28% despite a significant drop in market value over the past two years [9] - Beyond Meat denied bankruptcy rumors, stating it has not filed for bankruptcy, although its stock fell by 7.53% amid concerns over its financial health [10]

Core Viewpoint - Warren Buffett's confidence in the Japanese market is highlighted, with a commitment to long-term investment in Japanese stocks, particularly in five major trading companies, amounting to $23.5 billion by the end of 2024, with an annual return rate of 15.3% [1][2] Group 1: Foreign Investment in Japan - In April, foreign investors purchased a record ¥8.21 trillion (approximately ¥4,066 billion) worth of Japanese stocks and bonds, marking the largest monthly net inflow since 1996 [2][3] - The influx of foreign capital is attributed to the impact of U.S. tariff policies, which have led to a loss of confidence in dollar assets, making Japan an attractive financial haven [2][3] Group 2: Market Dynamics and Investor Sentiment - Key changes in the Japanese stock market include corporate governance reforms initiated by the Tokyo Stock Exchange and Buffett's announcement of increased investments in Japanese trading companies [3][4] - Analysts suggest that Buffett's long-term investment strategy reflects a belief in Japan's economic recovery and improvements in corporate governance [3][4] Group 3: Economic Challenges - Despite the positive sentiment, Japan's economic fundamentals remain uncertain, with a reported GDP decline of 0.2% in Q1 2025, marking a return to negative growth after a year [6][7] - Factors contributing to this decline include weak personal consumption and external demand, exacerbated by rising prices impacting consumer confidence [6][7] Group 4: Future Outlook - Analysts express concerns about Japan's economic recovery, citing ongoing inflation pressures and the potential for a "double blow" from U.S. tariffs and domestic economic challenges [8][9] - The long-term growth prospects for Japan's economy are questioned, with issues such as an aging population and stagnant productivity posing significant risks [12]