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The stock market charges higher in a holiday-shortened session on Tuesday to make Santa Claus rally that market is wishing for to start off with a good session.
The Dow Jones Industrial Average rose and other major indexes surged in the shortened Christmas Eve trading session on Tuesday. The NASDAQ climbed 1.35% to recoup nearly all of its losses from last week's sell-off and close above 20,000. The S&P 500 rose 1.1%, while the DJIA advanced ...
The Dow Jones Industrial Average rose and other major indexes surged in the shortened Christmas Eve trading session on Tuesday. The NASDAQ climbed 1.35% to recoup nearly all of its losses from last week's sell-off and close above 20,000. The S&P 500 rose 1.1%, while the DJIA advanced ...
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1. Current market analysis (Morgan Stanley's perspective):
• Market breadth narrowing:
After entering October, the market breadth index rapidly declined.
The company's unemployment rate data and CPI index exceeded expectations, further dampening market optimism.
Investors are beginning to flock to higher quality stocks, which typically have solid performance (high-quality indicators).
The importance placed on high-quality stocks:
Morgan Stanley recommends investors to continue selecting stocks with stable growth and quality indicators, and to avoid individual stocks with strong speculation or high volatility.
2. Market Phenomena and Risks:
Institutions' herding effect:
More and more institutions tend to consistently increase their holdings in well-performing stocks, while swiftly selling off poorly performing stocks.
The herding effect may cause the phenomenon of local stock price fluctuations, but once the market reverses, the risk will be very high.
Market liquidity crisis:
The depletion of the Federal Reserve's reverse repurchase tool (RRP) and insufficient liquidity pose a threat to the stock market.
The reverse repurchase tool has helped alleviate market liquidity pressures, but as the tool shrinks, overall market liquidity may further deteriorate.
3. Historical Comparison:
• Current Market vs. Internet Bubble in 2000:
• From 1995 to 1999, the Federal Reserve maintained loose monetary policy, leading to a frenzy in capital for Technology stocks.
After 2000, the policy tightened, the bubble burst, and the technology stocks' valuation plummeted significantly.
Morgan Stanley...
• Market breadth narrowing:
After entering October, the market breadth index rapidly declined.
The company's unemployment rate data and CPI index exceeded expectations, further dampening market optimism.
Investors are beginning to flock to higher quality stocks, which typically have solid performance (high-quality indicators).
The importance placed on high-quality stocks:
Morgan Stanley recommends investors to continue selecting stocks with stable growth and quality indicators, and to avoid individual stocks with strong speculation or high volatility.
2. Market Phenomena and Risks:
Institutions' herding effect:
More and more institutions tend to consistently increase their holdings in well-performing stocks, while swiftly selling off poorly performing stocks.
The herding effect may cause the phenomenon of local stock price fluctuations, but once the market reverses, the risk will be very high.
Market liquidity crisis:
The depletion of the Federal Reserve's reverse repurchase tool (RRP) and insufficient liquidity pose a threat to the stock market.
The reverse repurchase tool has helped alleviate market liquidity pressures, but as the tool shrinks, overall market liquidity may further deteriorate.
3. Historical Comparison:
• Current Market vs. Internet Bubble in 2000:
• From 1995 to 1999, the Federal Reserve maintained loose monetary policy, leading to a frenzy in capital for Technology stocks.
After 2000, the policy tightened, the bubble burst, and the technology stocks' valuation plummeted significantly.
Morgan Stanley...
Translated
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$Arm Holdings (ARM.US)$
Still, a very unique but ODD situation w/ ARM. Soft Bank still holding / owns an enormous majority stake. Its safe to speculate here, simultaneous to holding ARM position, they are putting efforts to pump the market cap to insane P/E levles. (wether directly or indirectly, to myself, th...
Still, a very unique but ODD situation w/ ARM. Soft Bank still holding / owns an enormous majority stake. Its safe to speculate here, simultaneous to holding ARM position, they are putting efforts to pump the market cap to insane P/E levles. (wether directly or indirectly, to myself, th...
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Hey mooers!
Navigating the stock market can feel like mastering a new language, especially for Canadian investors. That's where Moomoo steps in, blending cutting-edge technology with insider wisdom from top financial influencers and everyday trading pros, known as moomoo navigators.
With Moomoo, you're not just trading; you're joining a community that demystifies stock market secrets through real-time insights...
Navigating the stock market can feel like mastering a new language, especially for Canadian investors. That's where Moomoo steps in, blending cutting-edge technology with insider wisdom from top financial influencers and everyday trading pros, known as moomoo navigators.
With Moomoo, you're not just trading; you're joining a community that demystifies stock market secrets through real-time insights...
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benchtrio-update
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It is this time of the year to recap and review my investment results.
2024 was a wild ride for the stock market! Big tech soraed leaving many investors feeling like they were on rollercoaster. The ecomony threw us some curveballs and infaltion kept us on our toes. It wasn't always smooth sailing but in the end, the market managed to climb some impressive heights!
Let's jump right in to review how am I doing this year, more importantly how much I ma...
2024 was a wild ride for the stock market! Big tech soraed leaving many investors feeling like they were on rollercoaster. The ecomony threw us some curveballs and infaltion kept us on our toes. It wasn't always smooth sailing but in the end, the market managed to climb some impressive heights!
Let's jump right in to review how am I doing this year, more importantly how much I ma...
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$Intuitive Machines (LUNR.US)$
well, had to dump my 14.50 options that expired today at a loss...but boy I sure made up for it with my 27 Dec 12.5 calls options!
sold a little too soon, but we all know what happened on Wednesday
well, had to dump my 14.50 options that expired today at a loss...but boy I sure made up for it with my 27 Dec 12.5 calls options!
sold a little too soon, but we all know what happened on Wednesday
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$S&P 500 Index (.SPX.US)$looks to be recovering with 6000 looking promising. Hopping for a colour change from the previous FOMC results which was likely a knee jerk experience on the market.
$NVIDIA (NVDA.US)$took the lead with its climb recovering to 132 and more.
$Tesla (TSLA.US)$looks to be on its way back to 450. Needs a bit more push.
Today marks the day when I’ve closed some of my long Puts. Looking back, important to set strategies and stick to investment instea...
$NVIDIA (NVDA.US)$took the lead with its climb recovering to 132 and more.
$Tesla (TSLA.US)$looks to be on its way back to 450. Needs a bit more push.
Today marks the day when I’ve closed some of my long Puts. Looking back, important to set strategies and stick to investment instea...
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