"The Wall Street Oracle": U.S. stocks can still rise! Investors should stick to effective strategies

According to the VESYNC APP, as the market enters June, major stock indices (such as the S&P 500 Index and the Dow Jones Index) are just a step away from their historical highs. Tom Lee, co-founder and head of research at Fundstrat, a financial market research institution known as the "Wall Street Oracle," said that investors should not deviate from assets that have risen since 2024. In an interview, Tom Lee said, "Investors have been hesitating all year. I think we have experienced some short-term pullbacks, but for investors, it is best to stick to effective strategies." He mentioned that there is over $6 trillion in cash sitting in money market funds, according to Federal Reserve data, that can be put into the market. Tom Lee pointed out that stocks related to artificial intelligence, such as NVIDIA (NVDA.US), and those highly related to artificial intelligence, such as Super Micro Computer (SMCI.US), are playing a role in the stock market. He also noted that trades related to weight loss have performed well, such as pharmaceutical companies producing weight loss drugs. Data shows that artificial intelligence chip manufacturer NVIDIA's stock price has surged 121% this year, benefiting from the artificial intelligence investment boom and the company's strong first-quarter performance and guidance. Super Micro Computer has risen by 176% in the first five months of this year. Novo Nordisk (NVO.US) and Eli Lilly (LLY.US) have seen their stock prices rise by 31% and 40% respectively this year. Tom Lee added that the industrial sector (XLI) and the financial sector (XLF) have performed well, as well as cryptocurrencies like Bitcoin. Furthermore, small-cap stocks have significantly lagged behind large-cap stocks so far this year. However, Tom Lee mentioned that the hidden momentum of small-cap stocks is heating up. He stated that the possibility of a significant rate cut by the Federal Reserve this year is decreasing, impacting small-cap stocks, but this does not weaken their "fundamental attractiveness." He pointed out that the earnings growth of the Russell 2000 Index is far better than that of the S&P 500 Index, with a much lower price-earnings ratio. Tom Lee mentioned that considering the potential for S&P 500 earnings per share to increase to $280 next year, Fundstrat has set a year-end target for the S&P 500 Index at 5200 points, which he considers "too low." He said, "I believe we are still weighing whether there will be a 'speed bump' between June and December."