Korean Stocks Plunged Because of Covid-19

The Kospi index is now down 2.76% and other Asian markets also go down after South Korea raised its disease warning to its highest level.

Samsung Electronics yesterday confirmed a worker at a South Korean phone factory positive for nCoV. The entire plant has been closed, Reuters said. However, Samsung claims this facility only contributes a small part in its smartphone production. Samsung shares this morning fell 2.7%.

To date, 6 people have died from the disease in South Korea, according to the Korea Centers for Disease Control and Prevention. The number of infections has skyrocketed recently, bringing the total number of cases to over 600, making Korea the second largest outbreak in the world.

According to Yonhap, investment banks and large economic organizations forecast the growth of the Korean economy will slide below 2% in 2020 due to the impact of the Covid-19 epidemic. In recent days, a new strain of corona virus has attacked South Korea’s economic activities. The average daily export of South Korea decreased by 9.3% in the first 20 days of February compared to the same period in 2019.

The Chinese market opened just lower. The Shanghai Composite Index lost 0.4%, while the Shenzhen Composite lost 0.1%. Hang Seng Index (Hong Kong) lost 0.75%.

The MSCI Asia-Pacific Index is now down 1.5%. Other markets such as Australia, Taiwan, and Singapore are all going down. Japanese market is closed today.

Global investors are still watching the evolution of the Covid-19 epidemic and its economic impact. New outbreaks outside China, such as South Korea, the Middle East and Italy, are the focus of investors’ attention. Strong control measures have been implemented and will inflict a severe blow on the global economy.

The Korean won lost 0.8% this morning against the US dollar, currently at the 6-month bottom at 1,218 KRW per USD. Both Japanese yen and Australian dollar are depreciating against the greenback.

In commodity markets, crude oil prices are plummeting. Brent currently lost 3%, about $ 56.8 a barrel. And WTI oil fell 2.5% to 52 USD. World gold price this morning continued to increase, currently trading around USD 1,660 an ounce.

Positive US Economic Growth Makes World Stock Market Go Green

The US stock market closed the trading day on 10-2 with signs of prosperity and stock indexes in Asia also increased slightly in the opening session in the morning of 11-2.

According to MarketWatch, in the morning 11-2, MSCI stock index, excluding Japan (closed due to holidays), increased slightly by 0.1% points, Australian stocks rose 0.6% points and Korea’s KOSPI index increased by 0.7% points. Meanwhile, the Nasdaq Composite and S&P 500 indexes increased well at the end of February 10 (US time) when investors recorded good sales of US companies in the fourth quarter of 2019.

Concerns about global supply chain disruptions due to the 2019-nCoV pneumonia epidemic have also subsided. Millions of workers and factories in China gradually return to work after the long Chinese New Year holidays.

Ending the session on 10 February at the New York Exchange (USA), some leading stocks of large corporations such as Amazon.com, Microsoft Corp and Alphabet Inc increased, which created a force to push 3 key stock indexes of the US market simultaneously gained.

Specifically, the Dow Jones increased by 174.31 points (0.6%) to 29,276.82 points and the S&P 500 increased by 24.39 points (0.73%) to 3,352.1 points. Especially, the Nasdaq Composite increased 107.88 points (1.13%) to a new record of 9,628.39 points.

In addition to factors related to economic activity in China, the US economic situation has many positive signs also somewhat make investors more excited. Analysts said the US economic growth in the fourth quarter of 2019 could reach 2.3%, higher than the forecast of 2% made in early January.

Whereas, concerned about the complicated development of the epidemic in China, will affect production and business activities in this Asian country, gold and USD are considered safe haven for investors.

Gold and USD prices simultaneously increased in the trading session on February 10. Future gold price in the US market increased by 0.4% to 1,579 USD / oz. Meanwhile, the dollar rose 0.17%. World oil prices have fallen by 20% compared to peak oil prices in January 2020 due to demand for oil in China, the world’s No. 1 importer of oil, plummeting due to epidemics.

Football Stocks Is Affected by Fans

Not only the player or the facilities, but the fan is also a factor that increases the stock value of many European teams. However, to be able to issue shares to the public (IPO), football clubs need both a long step and large assets to prepare.

Stocks of soccer clubs began to appear in the stock market in the early 1990s. The first clubs were Manchester United, Chelsea, Leeds United, Liverpool, etc.

One of the first strengths that clubs need is to own their own football fields as a collateral, which is also a key place to play and practice matches. Manchester United Club (MU) owns the second largest Old Trafford Stadium in England, after the Wembley National Stadium. The stadiums also have a museum area, a traditional room, a restaurant (Red Café – Old Trafford) and special rooms for VIPs. The training center is a medium area with many physiotherapy rooms, swimming pools, etc.

The system to find young talent and train good young players is an advantage that clubs have to show class. MU has this center since 1930, has trained many excellent players like Duncan Edwards, Bobby Charlton, Ryan Giggs, David Beckham, Paul Scholes, etc.

Funding comes from the tournaments as well as the sponsors and sponsors who contribute to the club’s operation, maintenance and development. In addition, it is a source of money from exclusive advertising contracts and long-term sponsorship of sports-related brands.

Up to the time of listing, the clubs have a long history of national football championship, including MU 7 times, Arsenal 10 times, FA cup (MU 7 times, Arsenal 5 times) and super cup football. playing English (MU 10 times, Arsenal 8 times). These are the most successful clubs in England as well as having the number of fans in Europe. MU has about 13 million fans in the UK and more than 75 million fans in the world.

With solid infrastructures, high rankings in domestic and continental seasons, a huge number of fans, in 1991, MU changed to a new form of limited company with shareholding and listing. listed on the London Stock Exchange for £ 18 million.

he stock listing is also a way for fans to support, build and be loyal to their favorite club.

The stock of the club goes up and down depending on what they achieve. In addition, from the up and down rankings in the rankings as well as the advertising contracts the club has with firms, businesses, the total number of tickets sold per game, training outstanding players. and later on, buying high class players for the club.

Just Rising, US Stocks Continued to Decline

The US stock market lost points when it closed on Tuesday although it had previously set a new internal record. Investors were somewhat disappointed to hear that the US would probably maintain tariffs on Chinese goods until after the Presidential election in November 2020.

Bloomberg reported that whether the US completely eliminates tariffs imposed on Chinese goods will depend on China. It is Beijing’s compliance with the first-stage trade agreement that the two sides are expected to sign on Wednesday (January 15).

The S&P 500 is at a record level with the average price / earnings ratio (P / E) of the stocks in the index at 18 times. According to Joe Saluzzi, Director of Themis Trading, investors view the Bloomberg news as a reason to take profits.

Mr. Saluzzi used to compare the current mood of investors with the character of super spy in the action film series The Bourne of Hollywood movies. According to him, US stocks are in a market like Jason Bourne. The first thing when Jason Bourne enters a room is to find a way out in case he needs to.

All three Dow Jones, S&P 500 and Nasdaq hit an internal record before fading in the afternoon. While the S&P 500 and Nasdaq fell at the close, Dow Jones closed with a slight gain.

The US stock market has risen sharply in recent weeks thanks to optimism that the US-China trade war escalation will help boost the profits of listed companies.

Reuters cites sources that China has pledged to buy an additional $ 80 billion in manufactured goods and an additional $ 50 billion in energy from the US in the next two years.

JPMorgan Chase, the largest US bank, rose 1.2 percent after the bank opened its fourth-quarter earnings report on Wall Street in 2019, overall profitability was better than forecast and revenue growth was good. in the transaction and underwriting sectors.

Wells Fargo shares plunged 5.4% after the financial report showed that profits dropped because the bank had to spend $ 1.5 billion on provision of legal expenses. Citigroup shares rose 1.6% thanks to earnings that exceeded expectations.

Tensions between the US and Iran caused the price of bitcoin in Iran to soar to $ 24,000

When tensions are reaching the peak between the US and Iran, on the peer-to-peer exchange P2P – LocalBitcon has appeared BTC bought for about 1 billion Iranian Rial (about $ 24,000), this is considered a high price. best ever in Iran.

On December 27, 2019, US contractor personnel were killed in the shooting of more than 30 rockets at Iraqi base near Kirkuk city.

On December 29, the US air strikes against Iranian groups, killing 24 militants in Qaim, Iraq. Two other locations in Syria were also attacked.

On December 31, the US embassy in Baghdad was surrounded by demonstrators.

At dawn on January 3, the US raided Baghdad airport, killing Commander Qasem Soleimani, Iran’s No. 2 power figure. On the same day, the US called on Iraqi citizens to “leave immediately” for fear of the consequences of the attack.

Bitcoin price skyrocketed in Iran due to tensions with the US
Currently, the BTC exchange rate in Iran compared to the global market is quite different (the current market price is about 7,350 USD). The cause is believed to be due to the US air strike that killed Iran’s Generalimimimani, causing the political situation in Iran to be increasingly chaotic, people in this country are trying to flee to Bitcoin for fear of the national currency. Their price will be devalued.

Ryan Selkis, founder of crypto analytics firm Messari, said the high price of bitcoin in Iran could come from the fact that Iranians are seeking to withdraw cash (Rial) due to fears that the war with the US will make The value of the Rial devalues, so people in Iran are forced to go to bitcoin and see bitcoin as a store of value for their assets.

On the other hand, the reported transaction volume on LocalBitcoins has bottomed out in recent months. This may be due to the Iranian government issuing restrictions on internet access nationwide since November amid nationwide protests in response to rising fuel prices.

Last month, the BTA reported that Iran was proposing a national cryptocurrency, considered one of the measures to counter US sanctions.

Healthcare Stocks Rose Sharply During EURO 2016

Healthcare stocks have experienced strong growth thanks to EURO 2016. Meanwhile, sports or technology stocks have shown a very disappointing performance.

If your dream team is a stock portfolio, which stock will you choose to enter, especially during a major sporting event? Just before the start of EURO 2016, CNBC tested the potential of players (stocks) that should be in your team, based on Kensho’s quantitative data analysis tool.

In the previous EURO season, the Stoxx Europe stock index of health service companies was more surprising with profits rising an average of over 2%, including companies such as Smith & Nephew, GSK and Shire. In contrast, technology stocks had the most disappointing performance, losing more than 2% on average during the same period.

Some analysts also made their own choices during sports tournaments. In April, the European financial conglomerate chose stocks from betting and travel companies such as PaddyPower Betfair and EasyJet.

However, in the previous season, these two groups of stocks were not successful when losing an average of 3% during the last 3 matches of the final round. Meanwhile, Punch Taverns, one of the UK’s largest bar and pub companies, also had a 20% share decline throughout the season. A stock expected to have a positive performance is the UK’s largest sports retailer: Sports Direct also saw a nearly 5% decline in stock value in the last two matches of last season. 

Adidas stock, the official sponsor of the EURO tournament, is also an object that investors will watch closely. According to data from Colin Cieszynski, this stock tends to level off while matches take place and plummets both before the season starts and after the season ends.

For UK only, Investec Wealth & Investment said June could be a very good month for pub businesses. And from an economic point of view, this could be profitable for the country’s travel and entertainment stocks.

What happens if the US imposes Chinese taxes on December 15th

Manulife Investment Management expert in Hong Kong said that if the US still imposes Chinese taxes, Trump will be considered a “Christmas thief”.

Su Trinh, Director of Global Macro Strategy of Manulife Investment Management in Hong Kong, said that “this would be a huge shock to the market” if the US actually imposed tariffs on 160 billion USD of Chinese goods on 15 / 12, according to the plan Trump announced a few months ago.

Chris Weston – Research Director of Pepperstone Group also said that this will be “a crazy day”. The S&P 500 may lose 2%. Currencies like the yuan, Australian dollars and Korean won will fluctuate. However, the market may increase slightly after that, especially if the two countries agree to continue negotiations in 2020.

Yesterday, US President Donald Trump imposed steel import duties on Brazil and Argentina, and proposed imposing a tax on France to retaliate its tax with U.S. technology giants. Trump’s preference for taxation sparked the strongest 2-month sell-off session on Wall Street yesterday.

On Bloomberg, Tongli Han – Chief Investment Officer at Deepblue Global Investment predicts “The future will be very gloomy in the short term, about 1-2 months” and “all will turn to risk prevention mode”. “What has happened recently has made the deal even more expensive for Chinese leaders,” he said.

Steve Brice, an investment strategist at Standard Chartered advises that as 2019 nears the end and the prospect of reaching a further trade agreement, it is time for investors to remove their risky assets. “My advice is to cut down stocks, or at least not to join the market right now,” he said, “In the next few weeks, if the market drops 6-7%, consider withdrawing assets. “. In the long run, though, Brice is optimistic that “the US and China will sign a deal. This will reduce risks and help the global economy prosper.”

For Eli Lee – Director of Investment Strategy of Bank of Singapore, the US stock market going down yesterday was an opportunity to buy. The impetus on South American and European countries could be Trump’s attempt to strengthen the “liking to tax” image in negotiations with China.

“When the economy is in a fragile state, if Trump imposes Chinese taxes, the risk of a recession will skyrocket. The White House will not want this situation to last into the 2020 presidential election,” Lee said.

Is Investing in Stocks like Gambling in Casinos?

There are many people who say that investing in stocks is like gambling in the Casino. Perhaps so, investment and gambling are all related to risk. But gambling is often a short-term activity, while stock investing can last a lifetime. So, in the end, is stocks investment gambling?

Investment is the act of allocating capital to an asset such as a stock with the expectation of making a profit. Risks and profits go hand in hand. Low risk equals lower expected profit while higher profit is usually associated with higher risk. Gambling is a bet based on randomness. That means you will risk making money in an uncertain event and not have many opportunities.

Investors must always decide the amount of money they want to risk, for example 2-5% of the capital. Investors almost know the advantages of diversifying their portfolios. However, expectation of risks and profits can vary greatly in the same asset class, especially stocks.

In essence, this is a risk management strategy in investing: Allocating capital on different assets or different types of assets in the same portfolio, can help minimize potential losses. There are many investors who use technical analysis on stock charts to improve their holding efficiency. Besides, the profit from stock investment will be affected more or less by the commissions paid for stock trading.

More importantly, when you gamble, you own nothing, but when you invest in a stock, you own a stake in the company. And in fact you can even receive company dividends in the form of stocks.

Like investors, gamblers must also weigh the capital carefully. Most professional gamblers are quite proficient in risk management. They carefully study the rules of the game as well as the opponent or the thing they bet on. Card players often seek advantage from other players like poker. They also study the opponent’s manners and betting patterns in hopes of obtaining useful information.

In both gambling and investing, the main principle is to minimize risks and maximize profits. But, when it comes to gambling, the house always has an advantage over the player. In contrast, the stock market is likely to keep rising in the long run. This does not mean that a gambler will never win the lottery and that does not mean that a stock investor will always enjoy positive returns. However, over time, if you continue to play, the odds will become more beneficial to investors than a gambler. You can challenge yourself by researching online casinos podcast before investing in stocks seriously.

US stocks set a new record, closing for the 5th week in a row

All three major indices of the US stock market set a new record at the close on Friday, with the S&P 500 closing the week for the fifth consecutive session, although investors were still skeptical about negotiations.

According to Reuters, concerns about progress on the trade talks table between the world’s two largest economies surfaced earlier in the day, when President Donald Trump said he had not agreed to withdraw the desired tariffs. of China.

Earlier on Thursday, both US and Chinese officials said the two sides agreed to gradually lift tariffs imposed on each other’s goods.

Tim Ghriskey, strategist at Invernss Counsel, said the market was volatile after Mr. Trump’s statement, but soon the indexes recovered.

“The feeling now is that we will see some kind of agreement before the end of the year,” Ghriskey said.

Firmly increasing is the main trend of US stocks in recent sessions, with new records continuously being established. The catalyst for this upward move, in addition to being optimistic about the war situation, was also the interest rate lowering action of the Federal Reserve (FED) and a series of figures that were better than the US economic forecast.

The VIX index measures the volatility of US stocks thus ending Friday’s session at its lowest level since July 24.

Walt Disney shares played an important push for the S&P 500 this session, with a 3.8% gain after the entertainment company announced better-than-expected business results.

At the close, the Dow Jones increased by 0.02%, reaching 27,681.24 points. The S&P 500 index increased by 0.26%, reaching 3,093.08 points. The Nasdaq index increased by 0.48%, reaching 8,475.31 points.

For the whole week, the S&P 500 increased by 0.8%, marking the fifth consecutive week of increases. Nasdaq increased 1.1%, marking the sixth consecutive week of increases. Dow Jones rose 1.2% for the week.

Positive third-quarter earnings report season is also another important factor behind this rising chain of US stocks. Of the 446 companies in the S&P 500 that have released their business results so far, about three-quarters have exceeded their forecast, according to Refinitiv data.

Technology shares also played a key role in Friday’s market, with Microsoft up 1.2%.

Gap shares, meanwhile, slumped 7.6% after the fashion retailer announced that CEO Pion Art Peck would resign, an unexpected departure as Gap is restructuring. In addition, the company also cut its profit forecast for the year.

On the NYSE, the number of gainers this session was 1.07 times the number of losers. On the Nasdaq, the corresponding rate is 1.13 times. A total of 6.59 billion shares were successfully transferred, compared to the average of 6.79 billion shares per session of the last 20 trading days.

Li Ning: The Hottest Sportswear Stock in The World

The hottest sportswear brand in the world today, at least in the stock market, is a Chinese company founded by a former Olympic athlete: Li Ning.

Since the beginning of the year, Li Ning shares listed on the Hong Kong stock market have more than tripled, which enables it to be among the best-performing stocks in the MSCI Asia Pacific and Best gain in the group of textile companies globally.

Li Ning is benefiting from the growing Chinese appetite for sportswear. According to Morgan Stanley, the bank has just raised the target price for Li Ning shares by 33%. In addition, the scandal surrounding Hong Kong protest after a controversial statement from the basketball team manager of Houston Rockets of the American NBA professional basketball tournament also triggered a wave of support for domestic brands to patriotism, of which Li Ning is one of the brands to benefit.

This is not the first time that Li Ning stock has soared since its listing in 2004. This stock has achieved similar levels in 2007 and 2010, before plummeting and remaining flat in the past few years. due to making some business strategy mistakes.

This time, the momentum came from the end of last year in the context of investors seeking consumer companies rated as immune to the economic slowdown and trade war. Li Ning’s rival Anta has also seen its stock increase 87% since the beginning of the year.

Although Li Ning’s stock looks expensive with a P / E of 35 times, compared to Nike’s 30 times and Adidas’s 25 times, analysts are still very optimistic about the stock. Among Bloomberg survey experts, 28 recommended buying, 6 were neutral and no one recommended selling.

The company was founded in 1990 by Li Ning – a famous Chinese Olympic athlete. After retiring, he built a professional sports equipment company. The company specializes in manufacturing footwear, apparel and other accessory products for a range of sports such as basketball, football, tennis, swimming and bodybuilding.