Cicada started chirping near my house. My son found a beetle this week. Summertime!
But we still got heavy rain. There are only two days with enough sunshine this month.
[Solar Power Generation in July]
2H 2021
The fourth State of Emergency will restart tomorrow. The market is so far so good. Nevertheless, there should be always up and down. What’s the timing to get out?
Here are the events I mentioned in the past.
Inflation resurge
Labour market fall
Rate surge
Never-ending Covid19
China invasion in HK, Taiwan
Crypt Currency clash
Cyber Attack
Olympic losses
Vaccination failure
SPAC fraud
FTC pressure to big Tech
The market is worried about a lower rate is a sign of economic recovery fading away.
Not sure if new vaccination to variant virus or third shot is effective.
Bear in mind that we are in the turning corner of the first recovery phase.
REIT and NASDAQ
JREIT finally have caught up with Nikkei on yearly return, given the lower rate and another state of emergency. Nikkei still in the trading range, too early to get out, I think.
[Nikkei in orange, TSEREIT in blue]
The performance gap has been widening between Nasdaq and Nikkei since Jun19, still widening. Given the lower rate and expected strong 2Q earnings, Nasdaq seems to be better positioned.
[Nasdaq in blue, Nikkei in orange]
FANG index is about to break the previous high this week. It’s a touchstone of the momentum.
[FANG index in blue, Nasdaq in orange]
In the meantime, I’m closely watching Otani cracks the next home run.
