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Good morning mooers! Here are things you need to know about today's Singapore:
●Singapore shares opened lower on Monday; STI down 1.01%
●Commodities face tough week as Fed angst builds
●Stocks and REITs to watch: Singtel, SPH Reit, Aspen
●Latest share buy back transactions
-moomoo News SG
Market Trend
Singapore shares opened lower on Monday. The $FTSE Singapore Straits Time Index (.STI.SG)$ decreased 1.01 per cent to 3,114.16 ...
●Singapore shares opened lower on Monday; STI down 1.01%
●Commodities face tough week as Fed angst builds
●Stocks and REITs to watch: Singtel, SPH Reit, Aspen
●Latest share buy back transactions
-moomoo News SG
Market Trend
Singapore shares opened lower on Monday. The $FTSE Singapore Straits Time Index (.STI.SG)$ decreased 1.01 per cent to 3,114.16 ...
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As we enter the second half of 2022, the market is signaling a continued de-rating of equities, lingering challenges for consumers, and an increased bearishness among equity investors.
Here are some key takeaways brought by Mike Wilson, Chief Investment Officer and Chief U.S. Equity Strategist for Morgan Stanley in the podcast Thoughts on the Market.
What you'll get:
1. Perspectives on different sectors, such as consumers, technology and the crowded ener...
Here are some key takeaways brought by Mike Wilson, Chief Investment Officer and Chief U.S. Equity Strategist for Morgan Stanley in the podcast Thoughts on the Market.
What you'll get:
1. Perspectives on different sectors, such as consumers, technology and the crowded ener...
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$AEM SGD (AWX.SG)$ Short trading week , trade with caution.. But can buy some when there is dip and hope for a window dressing next week. $Keppel DC Reit (AJBU.SG)$ $Mapletree NAC Tr (RW0U.SG)$ $Japfa (UD2.SG)$ $UMS (558.SG)$ $Nanofilm (MZH.SG)$ $Sembcorp Ind (U96.SG)$ etc
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$Palantir (PLTR.US)$ No strength. may red soon
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The financial story of 2021 may be the 445 exchange trade funds that debuted this year as the U.S. ETF industry ballooned to $7 trillion.
The business has never known times like these. A corner of Wall Street already enjoying a reputation for explosive growth has gone supernova, with a record 445 new products in 2021 so far.
--- according to Bloomberg
Behind the rapid expansion is a deluge of new cash as investors chase an economic recovery from the coronavirus, while equity mutual funds fall out of favor. About $900 billion has flowed into the ETF market since the start of the year -- also easily a record. Barely any funds are getting shuttered.
There's a lot of money being transferred from a generational standpoint. The stars are aligning right now for the ETF industry to a) evolve very quickly and b) take in flows.”
--- said Keith Buchanan, portfolio manager at Globalt Investments
All that means the number of ETFs Americans can choose from has jumped 19% since the end of 2020. About a quarter of all trading ETFs are less than two-years old, according to Bloomberg Intelligence -- another sign of industry boom times.
Active ETF is growing
The details of the launches tell a deeper story: From the 445 new arrivals, 75 target fixed income. For the first time, new actively managed ETFs outnumber their passive counterparts with 298 debuts versus 147.
The letters ETF used to spell passive to most investors. Now more and more advisors are realizing that ETFs are no longer just about gaining passive exposure and that active ETFs, particularly within fixed income, make sense because they can gain exposure to experienced bond managers.”
--- said Allison Bonds, head of private wealth management at State Street Global Advisors
At the same time, launches of low-cost, broad equity-index trackers are dwindling. Traditional core or "beta vehicles" made up only 8% of total equity ETF launches from the start of.
--- according to Bloomberg Intelligence
Partly, that's because such core strategies are well represented by big, established and very cheap funds from the major issuers. The popularity of the likes of the $SPDR S&P 500 ETF (SPY.US)$ and the $Vanguard S&P 500 ETF (VOO.US)$ mean they still claim the lion's share of new cash.
Thematic ETF become popular
Thematic ETF target trends like automation or electric vehiclesrather than traditional industry segments. They've proved hugely popular with the retail-investing crowd, which has been a growing force in markets since the pandemic hit. The high-profile success of Cathie Wood's Ark Investment Management $ARK Innovation ETF (ARKK.US)$ $ARK Autonomous Technology & Robotics ETF (ARKQ.US)$ has also helped fuel a wave of copycats $ProShares Bitcoin ETF (BITO.US)$ $Valkyrie Bitcoin and Ether Strategy ETF (BTF.US)$.
Complex Categories
Aligned with this specialization, funds have been getting more complex. Over 30 ESG ETFs have launched in the U.S. this year. There have been 56 new ETFs this year investing in derivatives to amplify bets, make them inverse or deliver protection. A major driver of this has been the development of defined-outcome ETFs, also know as buffers. They seek to provide capped exposure to gains in exchange for limiting losses.
Source: TheStreet, Bloomberg
The business has never known times like these. A corner of Wall Street already enjoying a reputation for explosive growth has gone supernova, with a record 445 new products in 2021 so far.
--- according to Bloomberg
Behind the rapid expansion is a deluge of new cash as investors chase an economic recovery from the coronavirus, while equity mutual funds fall out of favor. About $900 billion has flowed into the ETF market since the start of the year -- also easily a record. Barely any funds are getting shuttered.
There's a lot of money being transferred from a generational standpoint. The stars are aligning right now for the ETF industry to a) evolve very quickly and b) take in flows.”
--- said Keith Buchanan, portfolio manager at Globalt Investments
All that means the number of ETFs Americans can choose from has jumped 19% since the end of 2020. About a quarter of all trading ETFs are less than two-years old, according to Bloomberg Intelligence -- another sign of industry boom times.
Active ETF is growing
The details of the launches tell a deeper story: From the 445 new arrivals, 75 target fixed income. For the first time, new actively managed ETFs outnumber their passive counterparts with 298 debuts versus 147.
The letters ETF used to spell passive to most investors. Now more and more advisors are realizing that ETFs are no longer just about gaining passive exposure and that active ETFs, particularly within fixed income, make sense because they can gain exposure to experienced bond managers.”
--- said Allison Bonds, head of private wealth management at State Street Global Advisors
At the same time, launches of low-cost, broad equity-index trackers are dwindling. Traditional core or "beta vehicles" made up only 8% of total equity ETF launches from the start of.
--- according to Bloomberg Intelligence
Partly, that's because such core strategies are well represented by big, established and very cheap funds from the major issuers. The popularity of the likes of the $SPDR S&P 500 ETF (SPY.US)$ and the $Vanguard S&P 500 ETF (VOO.US)$ mean they still claim the lion's share of new cash.
Thematic ETF become popular
Thematic ETF target trends like automation or electric vehiclesrather than traditional industry segments. They've proved hugely popular with the retail-investing crowd, which has been a growing force in markets since the pandemic hit. The high-profile success of Cathie Wood's Ark Investment Management $ARK Innovation ETF (ARKK.US)$ $ARK Autonomous Technology & Robotics ETF (ARKQ.US)$ has also helped fuel a wave of copycats $ProShares Bitcoin ETF (BITO.US)$ $Valkyrie Bitcoin and Ether Strategy ETF (BTF.US)$.
Complex Categories
Aligned with this specialization, funds have been getting more complex. Over 30 ESG ETFs have launched in the U.S. this year. There have been 56 new ETFs this year investing in derivatives to amplify bets, make them inverse or deliver protection. A major driver of this has been the development of defined-outcome ETFs, also know as buffers. They seek to provide capped exposure to gains in exchange for limiting losses.
Source: TheStreet, Bloomberg
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$NASDAQ 100 Index (.NDX.US)$ $S&P 500 Index (.SPX.US)$ $Dow Jones Industrial Average (.DJI.US)$ What to expect of the markets next week? Is the santa rally coming? Or postponed? Markets mixed signals! Some have bearish signals while others have bullish signals! Watch my video to find out!
Stay ahead of the market by watching the video and knowing all your entry and exit points. Also know which stocks are showing bearish signals to stay defensive and which stocks have bullish signals to prepare for an early entry!
Most will not take time out to watch the video. But those who take the time, I believe you will get something out of it at the end.
Stocks tagged below all have their technical analysis done in the video!
As always, trade safe & invest wise!
$Invesco QQQ Trust (QQQ.US)$ $SPDR S&P 500 ETF (SPY.US)$ $SPDR Dow Jones Industrial Average Trust (DIA.US)$ $Meta Platforms (FB.US)$ $Tesla (TSLA.US)$ $Apple (AAPL.US)$ $Advanced Micro Devices (AMD.US)$ $NVIDIA (NVDA.US)$ $Palantir (PLTR.US)$ $Futu Holdings Ltd (FUTU.US)$ $KraneShares CSI China Internet ETF (KWEB.US)$ $Alibaba (BABA.US)$ $NIO Inc (NIO.US)$ $Sea (SE.US)$ $E-mini S&P 500 Futures(DEC4) (ESmain.US)$ $E-mini NASDAQ 100 Futures(DEC4) (NQmain.US)$ $E-mini Dow Futures(DEC4) (YMmain.US)$
Stay ahead of the market by watching the video and knowing all your entry and exit points. Also know which stocks are showing bearish signals to stay defensive and which stocks have bullish signals to prepare for an early entry!
Most will not take time out to watch the video. But those who take the time, I believe you will get something out of it at the end.
Stocks tagged below all have their technical analysis done in the video!
As always, trade safe & invest wise!
$Invesco QQQ Trust (QQQ.US)$ $SPDR S&P 500 ETF (SPY.US)$ $SPDR Dow Jones Industrial Average Trust (DIA.US)$ $Meta Platforms (FB.US)$ $Tesla (TSLA.US)$ $Apple (AAPL.US)$ $Advanced Micro Devices (AMD.US)$ $NVIDIA (NVDA.US)$ $Palantir (PLTR.US)$ $Futu Holdings Ltd (FUTU.US)$ $KraneShares CSI China Internet ETF (KWEB.US)$ $Alibaba (BABA.US)$ $NIO Inc (NIO.US)$ $Sea (SE.US)$ $E-mini S&P 500 Futures(DEC4) (ESmain.US)$ $E-mini NASDAQ 100 Futures(DEC4) (NQmain.US)$ $E-mini Dow Futures(DEC4) (YMmain.US)$
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2021 is the year I started my investment / trading journey, therefore, it’s definitely a year to remember. I must say Moomoo 🐮 and it’s competitor 🐯 (being objective here) have really made investment easy and affordable. Gone were the days where you need to pay hefty commission fees to brokerage firms, which may have deterred many young / new investors from investing. Can I have a hand to see how many investors, who’s like me, started their investment and trading journey on this platform this year?
Anyway, I’ve created a short video to commemorate my meeting with Moomoo, and the review for 2021’s investment journey :)
Have also summarised below the takeaways from my short journey thus far (and I’m sure more to come in future!):
1. Volatility - no matter you’re a investor or trader, you will have to learn to eat and drink volatility for breakfast, lunch and dinner. Look at $Tesla (TSLA.US)$, most of the owners (including me) eat 20% ups and downs from time to time. Therefore, what is volatility? 可以吃的吗? Just keep calm and stay invested :)
2. Même stocks - 2021 saw a rise in Meme stocks. $AMC Entertainment (AMC.US)$ , $GameStop (GME.US)$ , $Digital World Acquisition Corp (DWAC.US)$ , $Phunware (PHUN.US)$ , just to name a few. I learnt the phrase “pump and dump” in the context of a stock market 😏 (if you know, you know). Stay away from these if your heart cannot handle point 1 - volatility. Bonus takeaway: Reddit’s WSB is a fun place to be in. Fun to watch, but probably not fun to follow their advices. 做个吃瓜民众就好 🍿️. PS: I got burnt by $Snap Inc (SNAP.US)$ $IronNet (IRNT.US)$ and $ChemoCentryx (CCXI.US)$ when trying to trade like god of gambler.
Ironnet - Bought at its peak 😂
3. Staying invested - biggest takeaway from 2021 is to stay invested in fundamentally strong stocks. If you have done enough research, and have high conviction for certain stocks, go for it and stick to it. It will grow and rise with you overtime. Just like you don’t keep changing your partner every other day or month right? 😉 For me, I’ve invested in , $Tesla (TSLA.US)$ $Microsoft (MSFT.US)$ $Apple (AAPL.US)$ $NVIDIA (NVDA.US)$ $Meta Platforms (FB.US)$ , and aiming for $Sea (SE.US)$ $Salesforce (CRM.US)$ $CrowdStrike (CRWD.US)$ $ARK Innovation ETF (ARKK.US)$ $The Trade Desk (TTD.US)$ $Disney (DIS.US)$ $ProShares Bitcoin ETF (BITO.US)$ $Luminar Technologies (LAZR.US)$ and $Palantir (PLTR.US)$ next year. For trading, I’m still trying to grasp the gist and technique, and find good stocks with high volatility, where I wouldn’t minding “bagholding” even if I get stuck $BioDelivery Sciences International Inc (BDSI.US)$ $LivePerson (LPSN.US)$ $AppHarvest (APPH.US)$ $AST SpaceMobile (ASTS.US)$ $Aurora Cannabis (ACB.US)$ $Blink Charging (BLNK.US)$ $GoHealth (GOCO.US)$ $Bionano Genomics (BNGO.US)$
DCA for stock that I have high conviction:
There are lots of noise in the market. If they are killing you and making you can’t sleep at night, delete the brokerage app and don’t log in for a month. Just kidding! Train your heart to be strong and resilient, don’t overreact, don’t get emotional. Be rational. Just like how you deal with challenges in life, overcoming hurdles after hurdles, even when you thought you can’t.
Lastly, they call $Grab Holdings (GRAB.US)$ the super app? I would say moomoo $Futu Holdings Ltd (FUTU.US)$ is the super app for online brokerage, with such comprehensive features. Make use of the functions like “News” to stay updated, “Comments” section to exchange ideas and learn from others, “Heat map” to see the market sentiment for different industries, “Price Alerts” to keep you posted when you’re busy etc etc. And of course, for beginners, check out the cool courses! The review can go on n on. But I don’t want to test Moomoo’s word count limit 🙊
Anyway, I’ve created a short video to commemorate my meeting with Moomoo, and the review for 2021’s investment journey :)
Have also summarised below the takeaways from my short journey thus far (and I’m sure more to come in future!):
1. Volatility - no matter you’re a investor or trader, you will have to learn to eat and drink volatility for breakfast, lunch and dinner. Look at $Tesla (TSLA.US)$, most of the owners (including me) eat 20% ups and downs from time to time. Therefore, what is volatility? 可以吃的吗? Just keep calm and stay invested :)
2. Même stocks - 2021 saw a rise in Meme stocks. $AMC Entertainment (AMC.US)$ , $GameStop (GME.US)$ , $Digital World Acquisition Corp (DWAC.US)$ , $Phunware (PHUN.US)$ , just to name a few. I learnt the phrase “pump and dump” in the context of a stock market 😏 (if you know, you know). Stay away from these if your heart cannot handle point 1 - volatility. Bonus takeaway: Reddit’s WSB is a fun place to be in. Fun to watch, but probably not fun to follow their advices. 做个吃瓜民众就好 🍿️. PS: I got burnt by $Snap Inc (SNAP.US)$ $IronNet (IRNT.US)$ and $ChemoCentryx (CCXI.US)$ when trying to trade like god of gambler.
Ironnet - Bought at its peak 😂
3. Staying invested - biggest takeaway from 2021 is to stay invested in fundamentally strong stocks. If you have done enough research, and have high conviction for certain stocks, go for it and stick to it. It will grow and rise with you overtime. Just like you don’t keep changing your partner every other day or month right? 😉 For me, I’ve invested in , $Tesla (TSLA.US)$ $Microsoft (MSFT.US)$ $Apple (AAPL.US)$ $NVIDIA (NVDA.US)$ $Meta Platforms (FB.US)$ , and aiming for $Sea (SE.US)$ $Salesforce (CRM.US)$ $CrowdStrike (CRWD.US)$ $ARK Innovation ETF (ARKK.US)$ $The Trade Desk (TTD.US)$ $Disney (DIS.US)$ $ProShares Bitcoin ETF (BITO.US)$ $Luminar Technologies (LAZR.US)$ and $Palantir (PLTR.US)$ next year. For trading, I’m still trying to grasp the gist and technique, and find good stocks with high volatility, where I wouldn’t minding “bagholding” even if I get stuck $BioDelivery Sciences International Inc (BDSI.US)$ $LivePerson (LPSN.US)$ $AppHarvest (APPH.US)$ $AST SpaceMobile (ASTS.US)$ $Aurora Cannabis (ACB.US)$ $Blink Charging (BLNK.US)$ $GoHealth (GOCO.US)$ $Bionano Genomics (BNGO.US)$
DCA for stock that I have high conviction:
There are lots of noise in the market. If they are killing you and making you can’t sleep at night, delete the brokerage app and don’t log in for a month. Just kidding! Train your heart to be strong and resilient, don’t overreact, don’t get emotional. Be rational. Just like how you deal with challenges in life, overcoming hurdles after hurdles, even when you thought you can’t.
Lastly, they call $Grab Holdings (GRAB.US)$ the super app? I would say moomoo $Futu Holdings Ltd (FUTU.US)$ is the super app for online brokerage, with such comprehensive features. Make use of the functions like “News” to stay updated, “Comments” section to exchange ideas and learn from others, “Heat map” to see the market sentiment for different industries, “Price Alerts” to keep you posted when you’re busy etc etc. And of course, for beginners, check out the cool courses! The review can go on n on. But I don’t want to test Moomoo’s word count limit 🙊
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Columns Sector Rotation?
What happened after FED's meeting?
We are currently having a sector rotation from tech growth stocks into value stocks after Wednesday's Fed policy of 3 rate hikes in 2022 instead of 2 and also speed up tapering and ending it a few months earlier than expected.
The initial taper plan was $10B for treasury securities and $5B for MBS (Mortgage Backed Securities) but now it has doubled the speed of tapering to $20B for treasury securities and $10B for MBS and tapering to end by March 2022. Which shortly after, rate hikes should come in progressively.
The reason for the fed turning hawkish and a quick shift to taper at a quicker pace and more rate hikes was due to inflation at a 40 year high. They also did not expect inflation to rise above 2% in 2021 and kept mentioning about higher inflation rate being transitory. Current inflation is at 6.8% based on the YOY report.
How did this affect the market on Thursday?
When tapering is sped up, liquidity will be tightened in the market. There will not be as much free cash to be pumped into the market to let prices rally like we have seen the last 2 years.
Interest rate hikes will also dampen valuation on growth stocks as growth stocks are priced in more to future earnings expectations. If rates rise, it will hurt those expectations. Investors will start to see bonds and value stocks that thrive in high-interest rate environments a better asset class thus making it more appealing against higher-risk growth stocks.
Small-cap stocks usually also suffer because they tend to loan more money to fund the growth of the company thus making them more sensitive towards the rate hikes.
Thus we saw the $NASDAQ 100 Index (.NDX.US)$ and $iShares Russell 2000 ETF (IWM.US)$ mostly small-cap and tech stocks falling much sharper than $Dow Jones Industrial Average (.DJI.US)$ yesterday which consist mainly of value stocks.
What to do now? Should I exit my growth holdings?
That being said, inflation and rate hikes over the long run still don't pose a huge threat to growth stocks. It is usually short-term when the rotation happens towards value stocks. So take this opportunity to find good entry points into the stocks which are undergoing the selloff.
As always, trade safe & invest wise!
$Apple (AAPL.US)$ $Tesla (TSLA.US)$ $Meta Platforms (FB.US)$ $Microsoft (MSFT.US)$ $Amazon (AMZN.US)$ $NVIDIA (NVDA.US)$ $Adobe (ADBE.US)$ $Invesco QQQ Trust (QQQ.US)$ $SPDR Dow Jones Industrial Average Trust (DIA.US)$
We are currently having a sector rotation from tech growth stocks into value stocks after Wednesday's Fed policy of 3 rate hikes in 2022 instead of 2 and also speed up tapering and ending it a few months earlier than expected.
The initial taper plan was $10B for treasury securities and $5B for MBS (Mortgage Backed Securities) but now it has doubled the speed of tapering to $20B for treasury securities and $10B for MBS and tapering to end by March 2022. Which shortly after, rate hikes should come in progressively.
The reason for the fed turning hawkish and a quick shift to taper at a quicker pace and more rate hikes was due to inflation at a 40 year high. They also did not expect inflation to rise above 2% in 2021 and kept mentioning about higher inflation rate being transitory. Current inflation is at 6.8% based on the YOY report.
How did this affect the market on Thursday?
When tapering is sped up, liquidity will be tightened in the market. There will not be as much free cash to be pumped into the market to let prices rally like we have seen the last 2 years.
Interest rate hikes will also dampen valuation on growth stocks as growth stocks are priced in more to future earnings expectations. If rates rise, it will hurt those expectations. Investors will start to see bonds and value stocks that thrive in high-interest rate environments a better asset class thus making it more appealing against higher-risk growth stocks.
Small-cap stocks usually also suffer because they tend to loan more money to fund the growth of the company thus making them more sensitive towards the rate hikes.
Thus we saw the $NASDAQ 100 Index (.NDX.US)$ and $iShares Russell 2000 ETF (IWM.US)$ mostly small-cap and tech stocks falling much sharper than $Dow Jones Industrial Average (.DJI.US)$ yesterday which consist mainly of value stocks.
What to do now? Should I exit my growth holdings?
That being said, inflation and rate hikes over the long run still don't pose a huge threat to growth stocks. It is usually short-term when the rotation happens towards value stocks. So take this opportunity to find good entry points into the stocks which are undergoing the selloff.
As always, trade safe & invest wise!
$Apple (AAPL.US)$ $Tesla (TSLA.US)$ $Meta Platforms (FB.US)$ $Microsoft (MSFT.US)$ $Amazon (AMZN.US)$ $NVIDIA (NVDA.US)$ $Adobe (ADBE.US)$ $Invesco QQQ Trust (QQQ.US)$ $SPDR Dow Jones Industrial Average Trust (DIA.US)$
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$Apple (AAPL.US)$ If we touch 30 trillion today, it will decline rapidly.
Lao Dao, the drop in Biaozi is directly related to the 4 trillion options expiring tomorrow! The real market situation should come next week!
Lao Dao, the drop in Biaozi is directly related to the 4 trillion options expiring tomorrow! The real market situation should come next week!
Translated
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