Market at Appropriate Levels on Trade Drawdown, Hogan Says

The video discusses recent trends in the equity market, highlighting a 5-week decline from all-time highs and the impact of semiconductor and technology sectors. It explores the recalibration of market risk in light of stalled China trade talks and the bond market's flight to safety, particularly in US Treasurys. The video also examines sector performance within the S&P, noting the bond sensitivity of consumer staples and utilities, and the unexpected market movements affecting semiconductors.

What has been the trend in the equity market over the past five weeks?

• A 5% increase from all-time highs

• No significant change

• A 1% weekly drawdown

• A 10% drop in a single week

What is the primary reason for the flight to safety in the bond market?

• High returns on US 10-year bonds

• Lack of other safe investment options

• Rising interest rates

• Strong economic growth

What potential action by China is discussed in relation to US Treasurys?

• Using them to fund infrastructure

• Selling them to defend the Yuan

• Increasing their holdings

• Exchanging them for gold

Which sectors were the worst performers in the S&P recently?

• Real estate and materials

• Consumer staples and utilities

• Technology and healthcare

• Financials and energy

What unexpected market movement occurred in the semiconductor sector?

• A significant rise in stock prices

• A 1% drop in the index

• A 10% drop in Advanced Micro Devices

• No change in the sector