#MarketRebound
📈 Market Rebound Overview — June 2025
What’s Happening?
• After a mild correction in April-May, U.S. equities, especially tech-heavy indexes like the Nasdaq, have shown signs of recovery.
• The rebound is fueled by better-than-expected earnings reports from major tech companies and easing inflation concerns.
• The Federal Reserve’s recent decision to pause interest rate hikes has boosted investor confidence.
Key Drivers:
• Strong Earnings: Apple, Microsoft, and Nvidia reported solid quarterly results, beating revenue and profit estimates.
• Inflation Cooling: Consumer price inflation showed signs of slowing down, suggesting less pressure for aggressive Fed tightening.
• Economic Data: Employment numbers remain steady, supporting a stable growth outlook.
• Investor Sentiment: Shift from cautious to optimistic, with increased buying activity in tech and growth stocks.
Nasdaq & ETFs:
• Nasdaq Composite has rallied approximately 8% in the past 3 weeks.
• ETFs like QQQ and QQQM have mirrored this rebound with gains around 7-9% over the same period.
• Leveraged ETFs (QLD, TQQQ) saw amplified moves, but with increased volatility.
⸻
What to Watch Next?
• Fed Signals: Any hint of resuming rate hikes could stall the rebound.
• Earnings Season: Continued strong earnings are critical to maintain momentum.
• Geopolitical Risks: Tensions or supply chain issues could introduce volatility.
