The semiconductor sector shot up 6.4% to a new high, while the Nasdaq climbed almost 2% this week, and everyone's buzzing about the semiconductor bull market returning. But something feels off to me.
The Fed dropped hints this week that inflation risks are still looming, clearly taking a hawkish stance. The VIX dropping 11% shows the market is totally unfazed, with everyone pretending they didn't hear a thing. The semiconductor index keeps surging, with the upcoming earnings report expected EPS at $20 for $MU , and the market has already priced that in sky-high.
I've seen this "bad news ignored while prices just keep climbing" scenario play out several times, and it usually gets wild right when everyone lets their guard down. Today is Juneteenth, a market holiday to digest things, and if Micron's earnings next week don’t beat expectations by a ridiculous margin, profit-takers won’t give you a heads up when they start to bail.
$SpaceX got crushed in its first week, pressing $TSLA into the ground, and how long Elon’s story can keep going is anyone’s guess. Honestly, as I've been watching my account's unrealized gains, I’m not feeling the urge to add more positions; I think I'll just wait and see.
#USStocks #Nasdaq #Semiconductor
$MU
The Fed dropped hints this week that inflation risks are still looming, clearly taking a hawkish stance. The VIX dropping 11% shows the market is totally unfazed, with everyone pretending they didn't hear a thing. The semiconductor index keeps surging, with the upcoming earnings report expected EPS at $20 for $MU , and the market has already priced that in sky-high.
I've seen this "bad news ignored while prices just keep climbing" scenario play out several times, and it usually gets wild right when everyone lets their guard down. Today is Juneteenth, a market holiday to digest things, and if Micron's earnings next week don’t beat expectations by a ridiculous margin, profit-takers won’t give you a heads up when they start to bail.
$SpaceX got crushed in its first week, pressing $TSLA into the ground, and how long Elon’s story can keep going is anyone’s guess. Honestly, as I've been watching my account's unrealized gains, I’m not feeling the urge to add more positions; I think I'll just wait and see.
#USStocks #Nasdaq #Semiconductor
$MU