Why wall street is worried despite record market highs
00:00 Brad Smith
Ali, let’s start with you at the record summits we watch.
00:06 Ali
Just as we reach out, we see green on the screen on the screen in futures. So, these gains are valid, we could see an extension of this rally, potentially a high record for the S&P 500 and Nasdaq composite. So, there is a lot of optimism to this market, too much flexibility. However, there are some cracks under the surface. For example, the performance difference between smaller and larger cover stocks in the S&P 500 has returned to its widest level since July 2024. This means that the width of the market is narrowed. Aka, these larger border stocks, once again they perform better your average stocks strongly performing better. And when you have this narrow leadership, this leads to a more fragile market. So we’ll want to see a little more market width we see there, but it is worn out on some edges. And then I get a lot of comments about the mid -year views from the Wall Street strategists about what they expect in the future. And I have to say that in most of the comments I received, it has fallen quite. Raymond James says the economy is on a weaker basis than the markets believe. Regarding the FED cuts, Morgan Stanley said that a deduction in July or September was actually slightly lower than the pricing of the markets. And the markets have doubled the July section so far last week. Meanwhile, Lori Calvasina from RBC called a war between growth and value next year. In fact, overweight value and cyclical, especially financial and now materials. I mean, a little more defensive in nature. And finally, BNP Paribas said that slowing down consumer demand is a key concern. Retail sales, which decreased as a key risk for future gains, stated that soft Q2 personal consumption trends. So, after the first half breaking these box office records, there is this attention that the second half of the year can bring. Everything will go down to these economic data, what we see on the work front this Friday, and of course the gains in the corner. And Nez, I know you’re watching Bitcoin.
04:00 Iz
Yes, it’s true, Ali. Bitcoin is currently moving over 107,000 per coin. And when we close the first half of the year, it is really shaped to be a poster year for Bitcoin. We take a look at the coin which is about 14% to date. Since President Trump was elected last year, it has increased by about 50%. And in the meantime, Bitcoin’s share in the total crypto asset market is now 64%. Of course there is a lot of acceleration behind the coin. There is a change towards a more arranged industry. Earlier this year, President Trump ordered an executive order for a Bitcoin strategic reserve. He had a cryptozar, crypto -friendly SEC chair. All this has risen too much for Bitcoin. It is not too much for the other, UH for subcoins, so to speak. You have seen that this is an annual graph in our Yahoo Finance Interactive, and you can see that Solana decreased by 22% of UH and Ethereum up to 26% up to 26%. I mean, Bitcoin is really a UH won. And I’m taking a look under it because we’re watching some commodities right now. Gold retreated a little. It is currently moving to about 3,294 per ounce. However, Gold has withdrawn AA in recent weeks. Many of these are related to signs of progress in the alleviation of geopolitical tensions and the progress in the Global Trade War. Nevertheless, you see that the year of that year has increased by about 23%to date.
