In the second half of the year, the global financial market may face many fluctuations. Next week, tech giants Apple, Microsoft and Amazon, each worth trillions of dollars, will release their financial reports. If their profits disappoint like Tesla did yesterday, we could see a severe market decline, like a black swan event.
Will the market crash spectacularly, slide or land softly? This question is closely tied to the US presidential election. The current power vacuum in America is at an alarming level. With Biden's influence waning, it appears the president's power is diminishing. Americans are engrossed in internal conflicts and the world is watching growing tensions. The capital market, with its keen sensitivity, will react strongly to any disturbance.
This election is not like previous elections. Trump's chances of winning appear high, and Democrats have been working for five months to weaken him. They previously refrained from drastic action in the hope of retaining power, but now they show less restraint. In contrast, Republicans aim to revive problems that Democrats buried before Biden left office. Therefore, caution should be exercised regarding the US dollar, US bonds and US stocks as political sabotage is looming.
Both sides were ready for conflict, one eager to detonate, the other setting traps for future explosions. We are witnessing a tense political drama. For investors, it is important to stay strategic. Don't always fully invest; Instead, be fearful when others are greedy and greedy when others are fearful. A market crash can be an opportunity to increase positions.
The global stock market is valued in the hundreds of trillions, while the cryptocurrency market is only about $2.5 trillion, smaller than companies like Nvidia. However, the liquidity and openness of the cryptocurrency market are significant advantages. Web3 companies are on the rise.