PUT IN WORK (7/3/2023)

The stock market has bounced back since the hit it took a couple of weeks ago, and the Nasdaq (QQQ) and S&P 500 (SPY) have scraped back all their gains. While the former is up 2%, the latter is up 2.3%. With the 4th of July just around the corner, we plan on making this a quick entry.

The S&P 500 has had its strongest first half in 4 years and is up 15% since January. It’s fascinating to see but not necessarily unexpected. We all assumed that when the market bounces back, it will bounce back hard—and it has thus far. The Nasdaq is no different, finding nearly 37% gains since the start of January. The reason it’s performing so much better can be partially attributed to mounting tech news/discoveries as the world picks up momentum once again. We can also cite the broad adoption of and obsession with AI as a leading factor.

Regardless of the market’s superb performance, it’s likely to continue to be volatile, especially as we head further into July. Investors expect the Fed to raise interest rates during their meeting on July 26th, but that’s not necessarily set in stone. Either way, the market will be visibly affected by whatever news we’re presented with. We’re still a decent ways away from the Fed’s target of 2%, but we’re getting closer and closer with each meeting. Many are still wondering what direction the market will head in throughout the year, with some believing that this bull market will last for the rest of the year. Others aren’t so optimistic. We’re personally cautiously optimistic, taking opportunities when they arise and making the best of the situation that we’re in, but we’re not throwing everything we have at the market. We must remain diligent and careful, no matter how good things seem.

(Nasdaq ETF (QQQ) price from July 2022 - July 2023 — each candle is 1 week. Chart provided by tradingview.com.)

PORTFOLIO UPDATE

Our stocks were up along with the market. One of our stocks that stood out was Enovix (ENVX), our most recent stock purchase. ENVX skyrocketed the day we purchased it and kept going even after we bought it. We may see a volatile correction by the end of this week, but only time will tell. We believe in the company and its vision and will continue holding it. We plan to hold all currently owned stocks into the future.