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Today, AH shares and the Asia-Pacific stock market all fell. Why can't the US stock market fall? But I want to say, the vitality of the US stock market is very strong, it's not like altcoins in the crypto world, what are you so afraid of?
As for why there is a fall, it is natural for the price to drop after a significant rise, and there isn't much reason needed. Although the overall market is falling, the VIX has returned to below 16, which indicates that sentiment is still optimistic. More so, people are waiting for confirmation signals.
The market logic of the US stock market is very strong right now, the commercialization of AI is accelerating, and no one is doubting the profitability of AI applications.
After listening to Meta's earnings call last night, Zuckerberg said: super intelligence is just around the corner, and those without AI glasses will be at a disadvantage in the future. This further solidified my bet on the AI glasses sector.
No risk market has ever been on a continuous rise. The characteristic of the US stock market is that when it does not correct, it stays that way, but when it does correct, it can be very sudden and intense. However, the recovery ability of the US stock market is strong; after every drop exceeding 20%, it always quickly rebounds, recovers the losses, and reaches new highs, with an average recovery median of only 17 days.
Historically, once the scale adjustment occurs in the US stock market, the recovery profits are also quite considerable, with the S&P 500 averaging an increase of 8.2% six months after a pullback and a win rate of up to 78% after 12 months.
Therefore, if a proper adjustment really comes, it will be a great opportunity.
For retail investors, the cost of proactively making mistakes is higher than missing out. Don't be afraid; adjustments are not a bad thing, so smile!