Stock Market News: Stock Market Review, Aug 12th, 2019
Trade War => Currency War
Last week, market were very much moved by the USD/RMB exchange rate.
After Trump announced a 10% tariff on a balance of china imports, USD/RMB rate moves above 7.
This is seen as a countermeasure by China to offset the effect of the tariff.
Market feared and drop sharply on Monday, and recovered on Tuesday when China officially made mid-point below 7.
Although it eventually went above 7 by the end of the week, market had largely recovered.
Last week pick updates
Our Pick for 5th August 2019
- XYL, short
XYL, is a quick win within the same day.
Currently, market is seeking direction. The most market mover is now in contradicting mode. Earnings had been good, but trade war is a big concern. Trade deal is unlikely to be achieved within a short period.
We are not confident with the current trend, it is very unclear.
Our pick for 12th August 2019
- MOMO, long (high-risk pick)
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Till next week,