The pitfall in investing in emerging market

Though we’re barely past halfway through the year, the stock market in US is much calmer compared to 2020. Despite some resistance for the vacinnation, the economy has gradully reopened,  and unemployement rate have dropped. The stock market has been upbeat, with S&P 500 having six monthly gain in a…

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Inflation Revisit

One of the most frequently used words of 2020 was COVID-19. This year, it is inflation. Unsurprisingly, as a lot of headlines and essays are discussing this topic, it is important we revisit it. Last time we analyzed future trends, such as the aging population, resumed globalization and technology innovation,…

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Out of the Shadow

This month I would like to forward the client letter from Jeff Buchbinder, CFA, Vice President, Equity Strategist of LPL Research for you to view. I think it's right in time and offer helpful insights into the current market. Dear Valued Investor,As the calendar has turned to May, the popular…

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Tax Reform and Regulation

After a volatile second month due to rising fear of inflation, the market is seemingly calming down as high valuation stocks claw their way back up. The general assessment of the inflation situation now shared by the market and expressed by FED Chairman Jerome Powell is that the central bank…

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Bond Market Vigilantes

One year ago, a rapidly escalating virus brought the world to a stop, shattering the financial market. The prices of almost all risky assets plummeted, except for those of Treasuries.  Fear of deflation and recession gripped everyone’s hearts.  Now, due to the approval and distribution of effective vaccines, people have…

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Upside Surprise?

You’re probably aware of the US stock market’s recent frenzy. In many situations it’s dangerous to bet against the consensus view baked into the price of the financial market.  Currently the US stock market looks like it’s priced for perfection. With the distribution of the COVID vaccine accelerating and the…

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Let’s have a fresh start in Year 2021!

Happy New Year!  We cannot wait to see a fresh start in 2021! Looking around the world and our states, we are still mired in the darkness of the severe pandemic once in one hundred years. But there are some good news both from vaccine side and from economy frontier.…

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To Hell and Back

At the end of every year, financial institutions show their crystal balls and make forecasts for next year. Last year at this time, no financial institution foresaw a pandemic causing 300K deaths in US, spiking the unemployment rate to almost 15%, and jittering the financial market not seen since World…

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Post-election World

In last month’s post we talked about the market signal that indicated the high possibility that Joe Biden would win election. It may be not much of a surprise to see the election outcome based on the polls and market signals.  But a blue wave did not come as some…

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Pre-election Month

It’s again the pre-election month! This month historically is not short of drama. It’s not surprising that this year there are even more. However, the financial market seems to already price in some results.   In July, the rise of all the renewable energy index started to accelerate versus S&P500…

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