Three Things to know today (June 30th)

Commentary3 days ago
“Bull markets are born on pessimism, grown on skepticism, mature on optimism and die on euphoria.” - John Templeton
1. India has banned dozens of Chinese apps, including TikTok, after a border clash. How will US Big Tech fit in?
This move comes after recent tensions arising from border disputes that left 20 Indian soldiers dead. It represents the latest development in the tit-for-tat retaliation between India and China. Could this present an opportunity for American software companies to capitalize on Indian markets with less competition? India is the second most populous country in the world, but of its 1.3 billion citizens, only about 50% are online. As that proportion grows, US tech companies like Facebook and Twitter desperately want to tap into this market. The recent ban might bring those aspirations closer.
2. The Boeing 737 MAX recertification commencement is boosting travel stock optimism. It’s still early days, in our view.
The 737 MAX, Boeing’s best-selling aircraft, has been grounded worldwide since March 2019 after two fatal crashes. But yesterday, the FAA began recertification flights, a key milestone in getting the planes back in service. Boeing shares jumped +14%, with airlines like Southwest and travel co’s like Booking Holdings rallying in sympathy. It’s an incremental positive for the travel industry, but the COVID-19 pandemic is still expected to mean lower-than-usual travel demand for years.
3. Most pro investors think the next 20% market move will be down. It’s been the most hated market rally in recent memory.
Citigroup’s quarterly survey found that ~70% of asset managers believe that a 20% correction is more likely than a 20% uptick in the stock market. Despite the recent market rebound, cash holdings have remained twice the level of last year and fewer fund managers want to commit new cash to the market today than in March. The views of “pros” should not be taken as fact, but wariness among experienced investors is important to keep in mind and should be weighed against retail investor expectations about unbridled growth.

Become a Titan investor today.

Titan Invest is an SEC registered investment adviser. By using this website, you accept our Terms of Use and Privacy Policy. Titan’s investment advisory services are available only to residents of the United States in jurisdictions where Titan is registered. Nothing on this website should be considered an offer, solicitation of an offer, or advice to buy or sell securities. Past performance is no guarantee of future results. Any historical returns, expected returns [or probability projections] are hypothetical in nature and may not reflect actual future performance. Account holdings are for illustrative purposes only and are not investment recommendations. The content on this website is for informational purposes only and does not constitute a comprehensive description of Titan’s investment advisory services.
Refer to Titan Invest’s Program Brochure for more information. Certain investments are not suitable for all investors. Before investing, consider your investment objectives and Titan’s fees. The rate of return on investments can vary widely over time, especially for long term investments. Investment losses are possible, including the potential loss of all amounts invested. Brokerage services are provided to Titan Clients by Apex Clearing, an SEC registered broker-dealer and member FINRA/SIPC. For more information, see our disclosures. Contact: 110 Greene Street, Suite 910, New York, NY 10012. Information provided by Titan Support is for informational and general educational purposes only and is not investment or financial advice.
© Copyright 2020 Whisker Technologies, Inc. All rights reserved.