The sharp rise of US stocks led to a heated debate on Wall Street: Xiaomo Warns foam Risk; Goldman Sachs insists that the rise is reasonable
爱时间GD
发表于 2024-3-5 12:16:25
1291
0
0
Is the US stock market forming a foam? It depends on who you ask.
Since the beginning of this year, the S&P 500 index has hit a new closing high 15 times and has risen for four consecutive months. The "Big Seven" companies in the US stock market, especially leading stocks such as Nvidia, Meta, and Microsoft, have driven up major stock indices.
In this context, there have been increasing doubts and concerns on Wall Street, and Marko Kolanovic, Chief Market Strategist at JPMorgan Chase, is one of them.
However, at the same time, analysts such as David Kostin, Goldman Sachs' chief US equity strategist, did not acknowledge the existence of foam. He believes that it is reasonable for the market to experience a sense of adventure. Although large technology companies have high valuations, this high valuation is supported by fundamentals.
JPMorgan Chase: The foam is gradually expanding
In Kolanovich's view, the sharp rebound of the U.S. stock market and the rapid breakthrough of Bitcoin over the $60000 mark are both signs that the foam is gradually blowing up. He believes that these developments indicate that foam are accumulating in the market - foam usually occur when asset prices rise at an unsustainable rate.
As Kolanovich joins the warning ranks on Wall Street, the voices of concern on Wall Street are becoming increasingly undeniable. This can not help recalling the Internet boom at the end of the 1990s, or the post epidemic period of the US stock market craze in 2021.
Driven by the significant rise of technology giants in the US stock market, the S&P 500 index continues to reach new highs. But in the eyes of critics such as Kolanovic, this upward trend is unsustainable.
Kolanovich wrote in his report on Monday: "The market is moving forward with 'low volatility and growing foam'."
He believes, "The stock market has risen this year, despite rising bond yields and fading expectations of interest rate cuts. Investors may believe that the increase in yields reflects an acceleration of the economy, but the profit forecast for 2024 is declining, and the market seems too complacent about this cycle."
In Kolanovich's view, the current US stock market environment reflects investor complacency and underestimation of risk.
He also warned that the continued rise of the US stock market may keep monetary policy high for a longer period of time, as premature interest rate cuts could further push up asset prices or trigger another round of inflation.
This time is different from the past
However, at the same time, Goldman Sachs' Costin and other analysts did not recognize the existence of the foam. He believes that it is reasonable for the market to experience a sense of adventure. Although large technology companies have high valuations, this high valuation is supported by fundamentals.
Costin believes that this upsurge is different from the foam period in the past. Different from the previous foam period when the stock price of the US stock fluctuated significantly and the valuation usually exceeded its value, this time, the breadth of "extreme valuation" of the US stock market was much smaller, and compared with the peak in 2021, the number of stocks traded at the super high valuation declined significantly.
In his report last Friday, he wrote that contrary to the "growth at all costs" mentality of 2021, "investors mostly pay overvalues for the largest growth stocks in the index." "We believe that the valuations of the 'Big Seven' companies are currently supported by their fundamentals."
As the fourth financial reporting season approaches its end, the financial performance of various companies in the US stock market also confirms the rationality of stock price increases. Data shows that as of now, the released financial reports show that the earnings per share of US stock companies increased by 59% year-on-year in the fourth quarter of last year, significantly better than the expected 47%.
CandyLake.com 系信息发布平台,仅提供信息存储空间服务。
声明:该文观点仅代表作者本人,本文不代表CandyLake.com立场,且不构成建议,请谨慎对待。
声明:该文观点仅代表作者本人,本文不代表CandyLake.com立场,且不构成建议,请谨慎对待。
猜你喜欢
- Goldman Sachs bets that the Federal Reserve will continue to decline six times in a row! Illustrated Wall Street Investment Bank's Latest Interest Rate Forecast
- Silver surged 6% and broke through the $33 mark, setting a new 12 year high
- Only one step away from reaching the summit of the world! Nvidia's market value has exceeded $3.5 trillion, and Wall Street continues to be bullish
- The Federal Reserve may not cut interest rates next month! Wall Street asset management giants list top 10 economic tailwinds
- Xiaomo vs Goldman Sachs! The two giants on Wall Street have completely different opinions: where will the US stock market go in the future?
- Wall Street bank executives' thorn in the heart: US election and geopolitical risks!
- Apple AI will officially debut next week and undergo testing by nearly 1.5 billion 'fruit fans'! The first batch of user experience has been released, and there is a huge divergence on Wall Street
- Robinhood's third quarter profit and revenue fell short of Wall Street's expectations
- How does Wall Street prepare for the US election? Hold cash and wait outside!
- The internal strife within the German coalition government has reached a critical moment. Wall Street: They're probably going to disband, aren't they?
-
【英偉達の需要が高すぎる?SKハイニックス:黄仁勲がHBM 4チップの6カ月前納入を要求!】SKハイニックスの崔泰源(チェ・テウォン)会長は月曜日、インビダーの黄仁勲(ファン・インフン)CEOが同社の次世代高帯域 ...
- 琳271
- 昨天 17:54
- 支持
- 反对
- 回复
- 收藏
-
ファイザーが前立腺がんを治療する革新薬テゼナ& ;reg;(TALZENNA®,一般名:トルエンスルホン酸タラゾールパーリカプセル)は2024年10月29日に国家薬品監督管理局(NMPA)の承認を得て、HRR遺伝子突然変異 ...
- 什么大师特
- 4 小时前
- 支持
- 反对
- 回复
- 收藏
-
南方財経は11月5日、中央テレビのニュースによると、現地時間11月5日、米ボーイング社のストライキ労働者が59%の投票結果で新たな賃金協定を受け入れ、7週間にわたるストライキを終えた。ストライキ労働者は11月12 ...
- Dubssgshbsbdhd
- 6 小时前
- 支持
- 反对
- 回复
- 收藏
-
【マスクはテスラが携帯電話を作ることに応えた:作れるが作らないアップルとグーグルが悪さをしない限り】現地時間11月5日、有名ポッドキャストのジョローガン氏のインタビューに応じ、「携帯電話を作るのは私たち ...
- 波大老师
- 7 小时前
- 支持
- 反对
- 回复
- 收藏