Reward 500 Tiger-coinsRecently, $HSI(HSI)$ and European stock markets have performed strongly, with major indices generally rising. $Global X Dax Germany ETF(DAX)$ has risen nearly 17% so far this year, French CAC 40 index is up 11.5%, and the UK FTSE 100 index has increased by nearly 9%, while the S&P 500 was down 2%. $NASDAQ(.IXIC)$ entered the correction zone yesterday.
This positive performance is mainly due to increased government spending, especially in the defense sector. Despite potential impacts on the European economy from US tariffs on the EU, the European market has unexpectedly strengthened.
US stock valuations are too high. While US stocks have seen recent declines, they remain at relatively high levels. In contrast, $X STOXX EUROPE 600(XSX6.UK)$ and Hang Seng Index have lower valuations.
Government spending around the world has a significant contribution to GDP.
This year, the stock market performance differences between the three regions stem from the US slowing down fiscal spending, while Europe and China are accelerating.
As we enter 2025, after Trump assumes the US presidency again, reducing the deficit has become one of the US government's priorities. The market also believes that the declines in $Tesla Motors(TSLA)$ and $NVIDIA(NVDA)$ have not yet ended.
In contrast, Europe and China are both accelerating fiscal spending. Europe has been increasing its defense spending, and major countries, including Germany, are planning fiscal expansions. China's recently released 2025 government work report also raised the deficit target from 3% to 4%. Some believe that $HSI(HSI)$ ould rise to 30,000 points. $Alibaba(BABA)$’s gain is also impressive this year.
Are you planning to chase the high in European stocks, Hong Kong stocks, or bottom US stocks?
Which market are you bullish?
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Recently, I’ve noticed an interesting arbitrage opportunity with Alibaba shares between the Hong Kong and US markets. For those unfamiliar, arbitrage is the practice of taking advantage of price differences for the same asset in different markets. In this case, you can actually sell Alibaba shares at a much higher price during daytime trading in Asia and then buy them back at a lower price during nighttime trading in the US market. This kind of opportunity doesn’t come around often, so I’m going to experiment with it to see how long it lasts. I’ll keep an eye on the market dynamics and share any updates or insights as I go along. Stay tuned!
Looking ahead, the US market still faces headwinds, especially with ongoing corrections in high-growth names like Tesla and Nvidia. Meanwhile, European stocks continue to show resilience, and the Hang Seng Index has room for further upside if China’s stimulus efforts gain traction.
For now, I’m keeping a balanced approach—monitoring opportunities in Europe and Hong Kong while waiting for better valuations in US stocks. The shift in global fiscal policies will be key in determining where the best opportunities lie in the coming months.
@Tiger_comments @TigerStars @TigerGPT
Recently, $HSI(HSI)$ and European stock markets have performed strongly, with major indices generally rising. $Global X Dax Germany ETF(DAX)$ has risen nearly 17% so far this year, French CAC 40 index is up 11.5%, and the UK FTSE 100 index has increased by nearly 9%, while the S&P 500 was down 2%. $NASDAQ(.IXIC)$ entered the correction zone yesterday.
@koolgal @Shyon @Aqa @SPACE ROCKET @TigerGPT @LMSunshine @GoodLife99 @Universe宇宙 @rL @HelenJanet
Are you planning to chase the high in European stocks, Hong Kong stocks, or bottom US stocks?
Which market are you bullish?
Leave your comments and also post to win tiger coins~
为什么欧股、港股最近表现强势？
欧洲股市的上涨，主要受经济数据回暖、能源价格企稳，以及市场对欧洲央行降息预期升温的支撑。例如，德国DAX指数今年已上涨约17%，法国CAC40也涨超11%。港股则得益于中国政策面的持续托底，市场情绪逐步改善，南向资金流入明显。对趋势投资者而言，短期内欧股和港股的上涨动能仍在，追涨并非不可行。
美股的调整是机会还是风险？
美股今年以来承压，尤其是科技股回调导致纳指进入修正区。尽管市场下跌让部分个股估值趋于合理，但美联储政策、通胀压力、经济放缓等因素仍可能带来波动。我认为，美股的短期风险尚未完全释放，如果调整进一步扩大，可能会提供更好的长期买入机会。
我的选择？
短线可以顺势配置部分欧股、港股，但美股的优质公司依然是核心资产，更好的抄底机会可能还需要耐心等待。