The market’s sentiment right now is extremely pessimistic. Everyone is worried that rate hikes will hit the entire stock market, and even concerned that an AI bubble could be directly burst by high interest rates. The U.S. stock market is entering a bear market.
I still hold the same view: the U.S. stock market is one where fundamentals matter more than everything else. Other factors, over a longer time horizon, end up being more like noise (if you’re trading short-term, you can ignore this point).
Even if there’s a rate hike in September, given how low valuations are right now—and how strong the fundamentals of AI are—the upside potential is clearly greater than the downside risk.
Moreover, the market has been anxious about rate hikes for so long. The Nasdaq’s prolonged sideways movement suggests that some portion of the rate-hike expectations has already been “priced in.” When the hike finally lands, it could actually catalyze the next round of rebounds.
My cash position is currently under 10%. If the Nasdaq keeps falling like this, it feels like I could just go all in.
If you’re still confused about your trades, and you truly want to break even, turn things around, and get back on solid ground—Brother Hu is waiting for you to rejoin the team.
I still hold the same view: the U.S. stock market is one where fundamentals matter more than everything else. Other factors, over a longer time horizon, end up being more like noise (if you’re trading short-term, you can ignore this point).
Even if there’s a rate hike in September, given how low valuations are right now—and how strong the fundamentals of AI are—the upside potential is clearly greater than the downside risk.
Moreover, the market has been anxious about rate hikes for so long. The Nasdaq’s prolonged sideways movement suggests that some portion of the rate-hike expectations has already been “priced in.” When the hike finally lands, it could actually catalyze the next round of rebounds.
My cash position is currently under 10%. If the Nasdaq keeps falling like this, it feels like I could just go all in.
If you’re still confused about your trades, and you truly want to break even, turn things around, and get back on solid ground—Brother Hu is waiting for you to rejoin the team.
