The momentum of the US stock risk-on strategy is losing steam, and concerns about the economy are growing - this also affects the concentration of high-tech stocks.
September 9, 2024, 8:48 JST (excerpt)
In early August, US stock prices plummeted due to concerns about a recession, leaving investors unsettled.
Concerns about China and Germany's growth, as well as the concentration of funds in high-tech stocks, are also risks.
The rise of US stocks, which seemed unstoppable, is now losing momentum. The momentum that has been continuously reaching new highs is now facing many challenges.
The stock market crash in early last month revealed how rapidly the situation can deteriorate. The sharp drop in stock prices, driven by concerns about a US recession, unsettled investors who were only familiar with one-way movement. Although the S&P 500 index rebounded afterwards, it is important to note that it did not fully recover from the decline.
Afterwards, following the release of the US employment statistics on the 6th of this month, which showed slower job growth than expected, there is a growing perception that the labor market is cooling down, leading to a decline in stock prices. Last week, the S&P 500 index fell by 4.25% on a weekly basis, and the Nasdaq 100 index experienced a significant decline not seen since November 2022.
In early August, US stock prices plummeted due to concerns about a recession, leaving investors unsettled.
Concerns about China and Germany's growth, as well as the concentration of funds in high-tech stocks, are also risks.
The rise of US stocks, which seemed unstoppable, is now losing momentum. The momentum that has been continuously reaching new highs is now facing many challenges.
The stock market crash in early last month revealed how rapidly the situation can deteriorate. The sharp drop in stock prices, driven by concerns about a US recession, unsettled investors who were only familiar with one-way movement. Although the S&P 500 index rebounded afterwards, it is important to note that it did not fully recover from the decline.
Afterwards, following the release of the US employment statistics on the 6th of this month, which showed slower job growth than expected, there is a growing perception that the labor market is cooling down, leading to a decline in stock prices. Last week, the S&P 500 index fell by 4.25% on a weekly basis, and the Nasdaq 100 index experienced a significant decline not seen since November 2022.
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