🔥Weekly Portfolio Update 04.04.21🔥
Weekly Performance, Key Events in The Portfolio, What to Read This Week and More!
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📮Portfolio Weekly Performance Report
◆ Key Events in The Portfolio
Selling $WM (Waste Management Inc) at new peak- We had sold all our positions for $WM at a profit of 13.70% when it had reached its new high last week.
Tech makes a comeback - Last week, we witnessed the remarkable surge of tech shares which lifted the S&P500 across the $4000 level for the first time in history. This is a fascinating moment for all tech-heavy investors after seeing how much most of the techs stocks have tumbled throughout the past month due to the rising bond yield and the expectation of rising rates. Last week, the three best performing tech shares in our portfolio were $SHOP (Shopify), $NVDA (NVIDIA Corporation) and $FB (Facebook) which had surged 8.47%, 7.57% and 5.53%, respectively.
Solar stocks are heating up - The US Department of Energy (DOE) had announced last Friday that the Biden administration is committed to slashing the cost of solar manufacturing by 60% within the next ten years. Sure enough, we had seen huge gains for the solar stocks across the world straight after the announcement. $0968.HK (Xinyi Solar Holdings) in our portfolio had surged a whopping 12.10% last Thursday, placing the stock at about halfway in its 52 weeks price range. With more green energy initiatives announced by the administration, such as the installation of offshore wind farms to increase wind energy production, the future of the renewable energy industry is getting brighter than ever before.
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📖 Recap of the week
Biden $2 trillion infrastructure plan - Last Wednesday, President Joe Biden had announced a $2 trillion infrastructure and job packages that aim to lift the economy. Biden’s $2 trillion plan addresses four main categories: transportation and utility grids, quality of life at home, community care for seniors, and innovation research and development. As promising as it sounds, it raises concerns that the corporate tax hike, on the other hand, will hamper the economic growth as a higher corporate tax rate will reduce corporate profits and investment until the infrastructure projects begin to lift the economy.
CBOE Volatility Index (VIX) hit pandemic fresh low - VIX, which is often called the “fear index”, had slipped to its lowest level since February 2020, before the Covid hit. If you have heard of the quote “Be fearful when others are greedy and be greedy when others are fearful” from Warren Buffet, you would know that the stock market indeed behaves like a pendulum that swings between greed and fear since the beginning of it all. The good news is the market is no longer as volatile as compared to the scale of pandemic days; however, it might also suggest that investors might be getting a little too complacent, if not greedy in the market, which only reminds us to be cautious and to stick to our course and aim for long term goal.
$MU (Micron Technology Inc) soars on positive outlook - Micron Technology Inc, the largest U.S. maker of memory chips, had delivered impressive second fiscal quarter earnings last week which sent the stock price surging by 4.76% end of the last trading day. Despite overall manufacturing shortages, the company managed to reach a normal level of inventory ahead of schedule.
$SPOT (Spotify Inc) acquired Betty Labs - Spotify Inc, the music-streaming giant announced last week it had acquired Betty Labs, the parent company of live-audio app Locker Room, a deal which is valued at around $50 million according to The Wall Street Journal. This is a push towards delivering more live audio contents for the platform following heavy investments into boosting its podcasts range in recent years. This will be a competition to its rivals in live audio space such as Clubhouse and $TWTR 's Spaces.
$TSM (Taiwan Semiconductor Manufacturing Co.) spends big on growth - The shares of the world’s leading advanced semiconductor manufacturer, Taiwan Semiconductor Manufacturing Co., soared on its plan to invest $100 billion over the next three years to meet the booming chip demand. However, it is unclear how the company will finance that record outlay with its current $28 billion of cash and equivalents as shown in its balance sheet at the end of December.
🐦 Tweets to start the week
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Best, HaoNing