BABA-W

The Fed has decided to increase the interest rate after all. For the time being, the risk of USD debasement trade will retreat. The next question is how many more rate hikes are on the horizon?

$BABA-W(09988.HK)

Alibaba - Short-Term Pressure, Long-Term Conviction

Alibaba’s share price has been trending lower since its recent share placement. It closed at HKD 105.10 today, down 1.04% and 13.85% over the past month.

My average entry price is HKD 113.52 and I am currently sitting at a 7.41% unrealised loss. But I am not worried at all by this short-term price movement.

I remain fully confident in the company’s long-term potential especially its massive investments in Alibaba Cloud and AI infrastructure plus Chinese government support to AI sector.

I believe these strategic bets will deliver strong, meaningful returns over time. Patience is key. 💪

Are you with me 🤔 ? My green dragon 🐉 going to fly soon 🤗.

Singapore stocks took a breather as Bank shares and even reits rose slightly after the official rate hike by the FED last night. I think Reits will start to stabilise for some time, but the worst is yet to be over as officials still want a consensus 1 more rate hike by this year.

So the FED does indeed raise its interest rate by 25basis points, looks like I was wrong about Warsh taking the risky stance of maintaining position. However, as expected, Trump took to social media to continue to pile pressure and express his desire for lower interest rate; this is the first time Warsh and Co took a decisive decision, let's see if they would continue Powell's legacy of maintaining independence or eventually succumbing to Trump's political will.

After my e commerce business being the 3rd chapter of running businesses of my own. I was invited to participate a SEA about 240 attendees by Alibaba Group. Actually I aim top 5 but turned out got my 19th ranking instead. Not difficult to me but also pretty intensive. That time I always like about. Singapore think I was in the 1st ranking than others. Got a lady who is a MBA holder lost to me due to my past experiences !

Jack Ma teachings.

One rate hke decided unanimously is highly anticipated by the market. Dot plot with 16 out of 18, expectations of further monetary tightening, sending a very hawkish signal. Revaluation of AI companies and rate sensitive sectors like property and bond markets may take the hit. So sit tight, buckle up your safety belt, and bumpy ride ahead.

Personally, I didn’t thought that the stocks fell that much (yet) after the rates announcement. I guess most people are bracing for further hikes too

It looks like the Fed has decided to listen to the market and give them what they want. The Fed is not ‘independent’ after all! If they don’t listen to the president, they listen to the market.

Well looks like it is the same old Fed after all! Haha…..for all the chest pumping and assertions that ‘this Fed’ is different from its predecessors, they are still following what ‘the market’ wants.

The dot plots are kind of redundant. Things can change quickly week to week. But I am still surprised it's a pretty large majority thinking of another rate hike this year. The more effective way to curb inflation is to replace the current POTUS.