Last week, the market overall went down but bounced back after Powell's speech hinting at a September rate cut.
While the market is optmisitic, we observe an overall rotation of money out of the top 100 stocks in the market into the rest of the market.
This usually happens when funds take profit from the leaders (e.g. AAPL MSFT etc) and rotate them into safe stocks such as energy and utility.
As a result, the overall market would go down.
Thus, I am bearish for this week too.
Cheers,
Eric
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Eric Seto
Chartered Professional Accountant (CPA)
Chartered Investment Manager (CIM)
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