This is the essential information you need to know today in order to gain an advantage.
Noteworthy points include:
– The Arora Report has consistently warned about the deteriorating relationship between the U.S. and China as a risk for long-term, prudent investors.
– Biden’s statements about the Chinese economy and its leaders have negatively affected stock market sentiment.
– The chart demonstrates that the AI rally in China has not been as successful as in the U.S., with Chinese investors showing less interest in AI.
– The Chinese stock market is currently trending downward, while the U.S. stock market is trending upward.
– The Producer Price Index (PPI) came in higher than expected, contradicting the belief that inflation is no longer a concern.
– There were expectations that PPI in China would be lower, impacting American producers who rely heavily on Chinese imports.
– The negative price action in yesterday’s stock market is concerning, with worries about a potential reversal and the poor Treasury auction.
– Investors should keep an eye on Treasury ETFs as a possible indicator of market trends.
– The best course of action is to maintain a balance between various factors in the market to protect investments.
– Money flows are negative for several major companies in the early trade.
– The momo crowd is buying stocks, while smart money is selling.
– Gold and oil are showing mixed activity among investors.
– Bitcoin is currently range-bound.
– The short-term early stock market indicator is negative.
– It is advisable to continue holding long-term positions, consider holding cash for tactical trades, and implement hedges to protect investments.
– It is important to have sufficient cash on hand to take advantage of new opportunities.
– Adjust hedge levels and stop quantities for stocks accordingly.
– The probability-based risk-reward analysis does not support long-duration strategic bond allocation at this time.
– Traditional portfolio allocation may focus on high-quality bonds and shorter durations.
– Bond ETFs can be used tactically rather than strategically.
– The Arora Report has a history of accurate market calls and offers a free newsletter for interested readers.