Dear readers, finally the US stock markets have closed its first trading day for Year 2021 with the following performance:
Dow Jones: -1.25%
S&P 500: -1.48%
NASDAQ Composite: -1.47%
The aforementioned performance of the US stocks is definitely a bearish way to start the new trading year 2021. But I am not surprised at all. In fact, since March 2020, the stocks markets have been on the uptrend since reaching an intra-year low. This rebound to me is hardly sustainable at all since the world is still battling Covid-19 and experiencing general bearish economy. This correction to me is long overdue and I believe we will see more correction in time to come within the first quarter of this year.
Another interesting thing to note is the disappearance of Jack Ma, the founder of AliBaba as reported by the media. Jack’s disappearance came amidst news of the China’s regulatory bodies looking into anti-trust matters of AliBaba and after the Ant IPO was halted.
With what is happening to AliBaba and the delisting of certain Chinese-listed companies on US stocks exchange, investors may well be advised to stay clear of China-related stocks. On the other hand, there are also volatilities with the US and other regional stocks since the current macro economical backdrop is bearish.
My advice for investors is to wait for the next stock market correction that will come within first quarter of 2021.
That’s it for my insights today. I Thank you once again for your support of SG STOCKS INVESTING, your Money and Lifestyle magazine! Connect with me here to follow the daily exciting and useful posts on these two blogs, Thank You for your support!
BINGE READ ALL POSTS!
Visit Home Page for more reads or Connect here!