[Tan Sir discusses stocks 25.6.27] The trends in the US and Chinese stock markets are improving, pay attention to the Indicators in the short term.

With the alleviation of concerns about the situation between Israel and Iran this week, international oil prices $WTI原油主連 (2508) (CLmain.US)$ have significantly fallen back, with both US and Hong Kong stocks performing well, and the market is in a comprehensive RISK ON state. Investor concerns about the economic outlook have decreased, along with economic data indicating that the Federal Reserve may conditionally further cut interest rates in the second half of the year, with expectations of rate cuts being a major factor driving the market upwards. In addition, the market is focused on the "One Big Beautiful Bill (OBBB)" which centers on Bullish factors, and trade risks are still manageable, stimulating strong performance in US stocks. $NASDAQ 100 Index(.NDX.US)$ It has reached a historical high. $標普500指數主連 (2509) (ESmain.US)$ Similarly, it also reached a historical high on Friday.

The market currently has an optimistic view on the economic outlook, one of the reasons being the expectation that interest rates will decrease, which would benefit the performance of the financial markets. Therefore, to assess whether the entire Bull Market atmosphere can be maintained, one can refer to $U.S. 10-Year Treasury Notes Yield(US10Y.BD)$ as an Indicator. If in the short term, the risks associated with US Treasury bonds and trade wars are not the market focus, it is highly likely that US Treasury rates will continue to test lower levels.

In terms of US stocks, the upward trend is mainly concentrated in Technology stocks, which are driving $S&P 500 Index(.SPX.US)$ $Nasdaq Composite Index(.IXIC.US)$ Strong, however, financial stocks like. $JPMorgan(JPM.US)$ Those have also broken historical highs, but the focus of the investment market is still mainly on AI development. Chip stocks are relatively strong, $Advanced Micro Devices(AMD.US)$ 、 $Broadcom(AVGO.US)$ and $NVIDIA(NVDA.US)$ This week also showed very strong performance. NVDA even reached a historical high, considering NVDA's AI narrative and the current valuation level, if investors want to participate in this investment track in US stocks, it is recommended to choose leading companies in the Industry.

In terms of Hong Kong stocks, $Hang Seng Index(800000.HK)$ capital inflows are concentrated in some stocks with lower liquidity for speculation, so even though the index has not broken this year’s highs, the overall trading atmosphere is still quite active. $XIAOMI-W(01810.HK)$ YU7 responded well and also stimulated a significant rise in stock prices. In the Technology Industry of Hong Kong stocks, it is recommended to focus on Xiaomi in the short term. $KUAISHOU-W(01024.HK)$ and $TENCENT(00700.HK)$ Regarding the Hong Kong stocks that have recently become popular for dividends, as the potential for interest rate cuts in the United States increases in the second half of the year, the attractiveness of dividend stocks is also starting to improve. In the short term, it's worth paying attention to certain Chinese financial stocks and international financial stocks; additionally, local utility stocks and local real estate stocks can also be considered after appropriate adjustments.

$PING AN(02318.HK)$ $CHINA LIFE(02628.HK)$ $NCI(01336.HK)$ $CPIC(02601.HK)$ $CCB(00939.HK)$ $ICBC(01398.HK)$ $BANK OF CHINA(03988.HK)$ $ABC(01288.HK)$ $AIA(01299.HK)$ $HSBC HOLDINGS(00005.HK)$ $STANCHART(02888.HK)$ $SHK PPT(00016.HK)$ $HENDERSON LAND(00012.HK)$ $SWIREPROPERTIES(01972.HK)$ $SINO LAND(00083.HK)$ $MTR CORPORATION(00066.HK)$ $CLP HOLDINGS(00002.HK)$ $HKELECTRIC-SS(02638.HK)$

Everyone is also welcome to refer to our Futu physical store seminar in the near future.

(The above content is for educational purposes and does not involve any recommendations.)