The issue of whether Powell will cut interest rates...
Powell's latest stance on interest rate cuts suggests that the Fed may maintain the current level of interest rates instead of rushing to lower them. This stance could have far-reaching implications for the stock market. On one hand, maintaining high interest rates means that liquidity will not be as abundant as before, which could put pressure on the stock market. High interest rates typically restrain corporate financing costs, reduce consumer spending, and thereby affect overall economic growth, leading to short-term market corrections.
However, from another perspective, if Powell's stance implies confidence in economic growth by the Fed, the market may interpret it as economic stability and continue to invest in stocks that benefit from economic growth. Especially technology stocks, consumer goods stocks, etc., these industries may benefit from a stable economic environment.
As for which assets have upside potential, I believe the following types of assets are worth paying attention to. First, technology stocks continue to be a long-term growth area, especially in the fields of ai, big data, and cloud computing. Companies like nvidia and apple still dominate the market. Secondly, with the global economic recovery and increasing market demand, energy assets, especially green energy, may become a new investment trend. The trend of energy transformation is already evident, and related companies and funds are expected to benefit from it. Lastly, gold, as a safe-haven asset, usually performs well in times of increased market uncertainty. If the stock market faces pressure, gold and other safe-haven assets may become investors' preferred choice.
Overall, despite certain risks in the market, technology stocks, green energy, and gold still have good upside potential.
However, from another perspective, if Powell's stance implies confidence in economic growth by the Fed, the market may interpret it as economic stability and continue to invest in stocks that benefit from economic growth. Especially technology stocks, consumer goods stocks, etc., these industries may benefit from a stable economic environment.
As for which assets have upside potential, I believe the following types of assets are worth paying attention to. First, technology stocks continue to be a long-term growth area, especially in the fields of ai, big data, and cloud computing. Companies like nvidia and apple still dominate the market. Secondly, with the global economic recovery and increasing market demand, energy assets, especially green energy, may become a new investment trend. The trend of energy transformation is already evident, and related companies and funds are expected to benefit from it. Lastly, gold, as a safe-haven asset, usually performs well in times of increased market uncertainty. If the stock market faces pressure, gold and other safe-haven assets may become investors' preferred choice.
Overall, despite certain risks in the market, technology stocks, green energy, and gold still have good upside potential.
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