We are starting to see some signs of life in the beaten-up software sector.
It is still early, but there has been strong buying across software over the last few days in the US and Australia, despite weakness in the wider market.
The robotics sector is also picking up steam since the amazing Chinese New Year kung-fu robot show.
If you think we’re on the cusp of seeing the birth of a multi-trillion-dollar autonomous robot industry over the next few decades, now is the time to place your bets.
US stocks in general are still stuck in a range, going nowhere fast. But momentum is getting weaker, and there are some trapdoors set just below current prices that could see a correction unfold.
The S&P/ASX 200 [ASX:XJO] on the other hand, is strong as an ox. With financials and resources flying higher at the same time, Aussie stocks look bulletproof.
But as in the US, when you step outside of the top ten stocks, things look less assured.
Critical minerals and metals remain well bid. Copper is still looking hot. The oil price is rallying, but the dance between the US and Iran is going to decide oil’s fate in the near term.
US bonds have been rallying with interest rates falling. The US 10-year bond yield looks poised to fall below 4%. The US 2-year bond yield is also at its lowest level in three and a half years.
Meanwhile, in Australia, interest rates are heading in the opposite direction as inflation continues to bubble away. The Aussie dollar will continue heading higher while that is the case.
Charlie and I discuss all of the above in today’s Closing Bell and show you watchlists in US software and worldwide robotics that could give you a good starting point for your own research.
So I hope you enjoy today’s video and be sure to give us a ‘like’ on YouTube if we added some value to your day.
Also leave a comment on YouTube if you’d like us to analyse a stock for you in next week’s ‘viewers picks’ Closing Bell.