$Airbus SE(EADSY)$ $Lockheed Martin(LMT)$ $RTX Corp(RTX)$ $Boeing(BA)$ $Northrop Grumman(NOC)$  🚀 Airbus Ascends Amidst Turbulence – An Engine-ious Challenge! 🚀 Kia ora Tiger traders, As someone who's worked for two major airlines and flown all over the world in every type of Airbus and Boeing aircraft, let me tell you, Airbus holds a special place in my heart! ✈️ With a passion for aviation and a knack for finding great investment opportunities, I'm in a bit of a pickle: do I buy more shares in Lockheed Martin (LMT), which I already own, or should I venture into Airbus? Decisi

Traders now expect 3 rate cuts by the end of 2024, compared to only 1 rate cut expected one month earlier. There is a 90% chance of a September rate cut, up from about 70% earlier, while the probabilities of rate cuts in November and December are above 50%. Other than softer-than-expected inflation data, I reckon a weaker-than-expected labor market is the key driver for spiking rate cut expectations.  Source: CME Fedwatch Why might the labor market be weaker than expected? 1) April and May job numbers revised down sharply. The US labor market initially added 165K and 272K jobs in April and May respectively, but recently, the non-farm payrolls were revised down to 108K and 218K for those months. In other words, there were 111,000 fewer jobs in April and May than previously estimated, s

The ever-changing economic landscape dictates a constant ebb and flow of capital across various sectors. This strategic movement of funds, known as sector rotation, is an essential concept for investors seeking to maximise returns and manage risk. In this article, I delve into the factors influencing sector rotation and, using recent financial data, provide insights into which sectors are likely to attract fund flows in the near future. Understanding the Cycle Sector rotation hinges on the anticipated phases of the economic cycle. The typical progression – recession, recovery, expansion, and contraction – favours specific sectors at each stage. For instance, during a recession, defensive sectors like utilities and consumer staples find favour, while cyclical sectors like technology and ind

The tech world has been dominated by semiconductors for quite some time. But recent market movements hint at a potential shift. As chip giants take a breather, other sectors are flexing their muscles. Here's a glimpse into what's unfolding: Signs of Rotation: The financial and consumer staples sectors, known for their stability, are experiencing a surge. Household names like Procter & Gamble (PG $Procter & Gamble(PG)$ ), Colgate-Palmolive (CL $Colgate-Palmolive(CL)$ ), and Walmart (WMT $Wal-Mart(WMT)$ ) are reaching new highs. This suggests investors are seeking safer havens for their capital. Growth Pockets Remain: However, growth isn't entirely out of favour

Chewy's 2024 Q1 Earnings Summary $Chewy, Inc.(CHWY)$ reported strong financial results for the first quarter of 2024, surpassing market expectations and announcing a significant stock buyback plan. Here are the key highlights:Sales and Revenue: Chewy recorded sales of $2.88 billion, a 3.1% increase from the previous year.Adjusted EBITDA: The adjusted EBITDA surged by 47% year-over-year to $162.9 million.Gross Margin: Improved slightly to 28.2% of sales, up from 28.1% in the same period last year.Net Income: Net income for the quarter was $66.9 million, a substantial increase from $22.9 million in the corresponding quarter of 2021.Adjusted EPS: The adjusted earnings per share (EPS) was $0.31, up from $0.20 in the previous year, significantly beating t

$ThaiBev(Y92.SI)$  Thailand Considers Easing Alcohol Control Laws: A Boon for the Alcohol Beverage Industry Thailand is currently debating significant changes to its alcohol control laws, which could have a profound impact on the country's alcohol beverage industry, particularly for major players like Thai Beverage. The Thai Cabinet has recently approved five draft bills aimed at amending the existing Alcoholic Beverage Control Act. These proposed changes include extending the hours during which alcohol can be sold, specifically from 2 PM to 6 PM, and allowing greater flexibility in alcohol advertising. The government's initiative is part of a broader effort to boost the economy and stimulate tourism. Prime Ministe

The recent sector rotation, with semiconductors pulling back and financial and consumer sectors closing higher, highlights the dynamic nature of market trends. Companies like Procter & Gamble (PG), Colgate-Palmolive (CL), and Walmart (WMT) reaching new highs indicate strong investor interest in defensive and consumer staples amid uncertain market conditions. Tesla and Apple's continued momentum suggests that mega-cap tech stocks still hold significant appeal, driven by their strong fundamentals and growth prospects. Similarly, the upward trend in SaaS stocks like Snowflake and Cloudflare underscores the ongoing demand for cloud and data services, even as other tech sectors experience volatility. As for the next sectors that may attract fund flows, several possibilities stand out. Healt

$SPDR S&P 500 ETF Trust(SPY)$   The S&P 500 just recorded its best first half of an election year since 1976, rising 15%. So what does this mean going forward? Historically, a 10%+ rally in the first half was followed by an average return of 7.7% in the second half. At the same time, the average max drawdown was 8.9%, according to LPL Research. During an election year, the S&P 500 has seen average gain of 4.2% since 1950. Since 1950, the second-half average market return has been 4.8%. History suggests this incredible market rally is set to continue.

SUMMARY OF FED CHAIR POWELL'S COMMENTS (7/2/24): 1. The trend of disinflation appears to be resuming 2. Need to be more confident before reducing rates 3. Fed doesn't see 2% inflation "this year or next year" 4. Budget deficit is very large and unsustainable 5. 4% unemployment is still a very low unemployment rate 6. Moving to fast creates risk of inflation returning The Fed needs more data before rate cuts can begin. It's clear that the Fed will continue their "meeting by meeting" approach. While markets are expecting 2 rate cuts this year, the Fed's latest guidance says 1 cut is coming. The next few months are crucial.