$Hang Seng Index (800000.HK)$
1. Technology stocks remain the best long-term investment benchmark:
The recent announcement of earnings and outlook in US technology stocks was not as expected, and capital expenditure by large technology companies in AI has failed to produce results, accelerating the decline of technology stocks, and the US technology share price is facing a correction.
2. Adjustments in the value of US stocks, without hindrance:
In the past, US tech stocks have performed strongly, forcing US legacy and biotech stocks to underperform and even fall, but with the recent correction in tech stocks, biotech stocks and legacy stocks have started to rise, including McDonald's, Coca-Cola, Walmart, 3M, Pfizer, Chevy, P&G, and NIKE, among others. The market is well capitalized, showing the volatility of the US stock market.
3. Bond Price Trend Determined:
Investors worried that the US economy is entering a recession, funds flowing from the stock market to the US Treasury, and policy-sensitive 2-year debt yields fall to the lowest since May last year, the Chicago Futures Exchange's FedWatch tool shows that the probability of a 0.25pc cut in September is 78%, and a Goldman Sachs report forecasts the number of rate cuts from September And twice in December, increase the interest rate once in November.
4. The yen is no longer cheap, and the long-term exchange rate is rising:
Even compared to other major global central banks, the yen rate remains low, but it is already the highest level since December 2008. The Bank of Japan forecasts the end of the 2024 fiscal year, excluding new...