Weekly Market Update

Weekly Market Update

As we navigate the complexities of global trade and economic uncertainty, the Grand Protector is here to inform you about market trends and insights from leading experts.

Key Takeaways:

1. US Stocks Retreat Amid Trade War Worries: US stocks declined last week as President Trump's new tariff threat revived trade war worries. The S&P 500 slipped 0.6%, while the Dow Jones Industrial Average dropped 0.3%.
2. Fed Holds Interest Rates Steady: The Federal Reserve kept interest rates unchanged at its May meeting, citing economic uncertainty and market volatility caused by Trump's tariff push.
3. Trade Talks Intensify: US-China trade talks are set to resume this weekend in Geneva, with President Trump hinting at a possible cut to US tariffs on Chinese imports.
4. Market Sentiment: Cautious Optimism: Despite the challenges, markets seem cautiously optimistic about the prospects of a trade deal between the US and China.

Stocks to Watch:

1. Broadcom (AVGO): With its robust artificial intelligence strategy and strong financial position, Broadcom remains an attractive buy despite its recent decline.
2. Shopify (SHOP): The e-commerce giant's solid growth prospects and resilience make it a worthwhile investment opportunity.
3. Vertex Pharmaceuticals (VRTX): This healthcare company's dominance in the cystic fibrosis market and robust revenue visibility make it a smart bet.
4. Intuitive Surgical (ISRG): With its global da Vinci installed base exceeding 10,000 systems, Intuitive Surgical is well-positioned for rapid growth.

Insights from Experts:

1. Nuveen Chief Investment Officer Saira Malik: History has shown that markets tend to recover quickly after a sharp decline. Markets are also starting to appreciate the negotiating progress between the US and China.
2. Citi Head of Wealth Andy Sieg: Despite the uncertainty, investors can earn high-single-digit returns in fixed-income and high-yield corporate bonds.