To The Moon

Even in the case of economic recession, the selling pressure on the stock market will not be as severe as in the past.Simon White, macro strategist at Bloomberg, believes that the excessive focus on economic recession stems from its impact on portfolio. The S&P 500 index fell an average of 5% before the recession began, and may fall a further 30% during the recession. But the price trend shows that stocks may not suffer such serious losses this time.However, first of all, the risk of recession has obviously increased, even if it is not an absolute certainty.One of the most comprehensive and reliable leading indicators for measuring economic recession is the recession gauge. It consists of 14 recession sub-indicators, covering a wide range of market and economic conditions. When at leas

COVID-19 was hell for tech stock and chip manufacturers. But AI has now flipped the script. Here are

Microsoft (MSFT): Has laid down the gauntlet in the AI space, positioning itself for amazing long-te

The U.S. debt ceiling refers to the maximum amount of Treasury Bond issued in the United States within a certain period approved by the U.S. Congress. Before 1917, every time the US government needed to borrow money, it had to obtain authorization from Congress. During World War I, in order to improve the flexibility of the state apparatus, legislators decided to grant the government a package of borrowing authority, provided that the total borrowing amount of the federal government (excluding local governments) was less than the existing quantitative limit. At present, the debt ceiling of the United States is 31.4 trillion yuan. According to the US Treasury Secretary, the US government will reach the ceiling as early as June 1. If it cannot increase its debt, the government will have "no

The smaller banks carry a bigger Commercial real estate (CRE) burden. Is the risk with only the smaller banks or is this a bigger concern across the banking & financial industry? This is a recent extract from Factset. A tale of two bank industries.Banks hold the majority of CRE mortgages by volume, with 61% of total CRE debt residing on their balance sheets (excluding multifamily). Within the industry, however, there is a dichotomy between large and small banks. As shown in Figure 15, CRE accounts for 24% of total industry loans outstanding, but CRE represents just 13% of total loans at large banks, while accounting for 44% at small banks. Figure 16 shows this at the individual bank level; the list of banks with the highest CRE/Total Loans ratios is dominated by small- and mid-sized ba

Are you concerned about the US Debt Limit saga that is bubbling stronger each passing day and is threatening to overflow ? I am concerned because US stock market may be affected in the process. Once Upon A Time… In Jan 2023, US Treasury Secretary Ms Janet Yellen has announced that the US government has hit its legal $31.4 Trillion debt limit. The US Treasury dept is expected to continue to use its cash balance and apply “extraordinary measures” as long as it can to meet its payment obligations. Unfortunately, the “extraordinary measures” will not last forever. US Treasury dept is expected to run out of money by 01 Jun 2023 and will not be able to meet its financial obligations after that. In the meantime, US Congress is faced with overcoming political gridlock to address the Limit before t

Cloudflare Inc. lost $4.2 billion of its market value after the cybersecurity-focused provider of cl

An old adage says investors should "sell in May and leave".Historical analysis shows that summer market is often the weakest month of the year. The mathematical statistics bear this out, because the $10,000 invested in the market from November to April far exceeds the amount invested from May to October.PictureInterestingly, during the "May Sell" period, the maximum pullback/retracement was much larger. The previous important dates of market plunge were October 1929, 1987 and 2008 respectively.However, it is not every summer that the performance is poor. Historically, there have been many periods when "selling in May" didn't work and the market rose. 2020 and 2021 were examples of large-scale Fed intervention pushing up prices in April and the following summer. In 2022, however, the opposi

The Federal Reserve is expected to pause after one last rate hike in May. Many investors anticipate a FED pause together with a coming recession to lead to a stock crash. Find out how to prepare for market volatility and manage your investments in this video!