[US stocks] Rotation in focus and concerns about US-China relations
Hello, I am Lehman (@Lehman1980).
The NY market, contrary to the prior forecast, moved to push higher from a cycle-chasing standpoint.
From the previous trend of tech giants leading, this week and a half saw strong moves in small caps and old economy stocks.
These past two weeks have shown strong price action.
Additionally, the S&P 500 rose from around 2850 points to 3045 points.
In the near term, the 3000-point level seems poised for a battle.
＜S&P500 index closing prices＞
https://jp.investing.com/indices/us-spx--500-historical-data
This is the SBI Securities account summary. (End of May 29)
Current unrealized loss is as below, and when combined with realized gains and dividends, the cumulative loss is$7,700 negative.
In the current holdings, due to ETF appreciation and purchasing, the unrealized loss rate has finally fallen below 5% since the sharp drop.
Picks
Buy: VT, PG, T
The market moved stronger than expected, so I did not accumulate aggressively.
Summary
A small bubble may not continue indefinitely, but it was a two-week period of stronger risk-on sentiment.
I think it is necessary to continue buying in small amounts while leaving ample room for potential sharp declines.
Currently, I have narrowed down to three individual stocks, and whether I add to existing positions or introduce new ones, I plan to proceed cautiously.
In terms of index levels, profits are likely to be realized more easily, and
I feel the S&P 500 is more likely to move toward 2600 than toward 3400.
Due to Hong Kong issues and the new coronavirus concerns, U.S.-China tensions are seen as deepening, but
the impact on stock prices remains limited for now. There are various views, including on governance and wrestling with market dynamics,
as in the initial outbreak of the coronavirus, the market may be undervalued, so close monitoring is necessary.
https://jp.reuters.com/article/ny-stx-us-idJPKBN23534B
