Standard Chartered PLC

The oil price situation is erratic. One day it is up and the next it is down. This is why risk management is essential.

What a week it has been. This is what sentiment is. At the top, everyone wants to buy. Down here, no one wants to buy. But prices are much cheaper here. Thats how trends are also. Not many has the courage to do things using their own thought process.

Standard Chartered Bank Hongkong stocks profit rose. Though AI trading becomes the trend, I wonder on the businesses purposes.

Korea stocks fall is a concern.

I wonder on the jobless percentage on Thursday report.

Today is 30 July and why is there a report for 31 July on the employment cost?

However, the oil price increases.

Markets are entering a high-volatility window with economic data, earnings, and geopolitical headlines all colliding. I’m keeping more cash on hand and waiting for higher-conviction setups instead of reacting to every headline.

REITs and bank stock investors should also take note with recent Fed rate decision and his tone.

Chairman Kevin Warsh struck a clearly hawkish tone after the meeting:

He repeatedly said that the inflation is "still too high" and he will not accept inflation staying above 2%

He also pushed back firmly against market hopes for rate cuts and ruled out any plan to raise or soften the inflation target

Barclays has called the current outcome a "hawkish pause" and this will likely make markets price in a higher chance of rate hikes ahead.

Hence bad for REITs and good for bank stocks.

I expect MAS will tighten its monetary policy tomorrow. This should benefit stocks like the three big banks and consumer staples.

MAS is more on the side of "fighting inflation," but will do so in a very cautious manner, rather than turning fully hawkish.

In other words, it's less like "completely standing on the sidelines," and more like gently tapping the brakes first, then watching oil prices and the Middle East situation.

There is no point in trading the energy spike as the events flip-flops constantly. Staying out of this sector and just invest in areas within my circle of competence, like banks, REITs, Etc.

Firstly, I believe MAS will opt for a moderate strengthening of the SGD rather than implementing aggressive monetary policy changes tomorrow. It is challenging to strike a balance between controlling inflation and maintaining stable unemployment levels. Strong SGD is bad for export industry, especially electronic and pharmaceutical sectors.

Lastly, I think the EV automotive, nickel, and solar panel industries stand to benefit from higher energy costs, while most other sectors are likely to be negatively impacted by rising energy expenses.