Market Sentiment Changed: The Bearish Calls of July Just Got Proven Wrong
All through July the loudest voices called for a deeper AI correction and told investors cash was king. Today the report flips that script directly: market sentiment has changed, and the past six weeks of calls prove it.
PLTR, bought on June 26 at what the report called the exact bottom of the year on the strength of new government contracts, is now up 29%. SNOW and DELL, bought despite fears of unfilled jumping gaps, also worked out, SNOW barely flinched while DELL only half-retraced. DJIA has now gapped up repeatedly rather than gapping down, the opposite of what the bearish crowd expected.
This lines up with yesterday’s call that record highs travel in packs across DJIA, S&P, and NASDAQ, with the report arguing the Crimson Horse and Red Goat top has already passed. It also lines up with the Hormuz Strait, where Trump now says a deal to reopen it could land as soon as tomorrow, even as he threatens extremely heavy blows if talks collapse.
Underneath the sentiment shift sits a real crack. ADP payrolls came in at just 44,000 in July, badly missing the 70,000 consensus and down hard from June’s 95,000, a reminder that the bullish reversal in stocks is not the same thing as a healthy labor market.
Sentiment just flipped from fear to record highs, but Friday’s jobs report gets the final word on whether the ground underneath is actually solid.
Full report available via the download button below. Read previous US Stock Express editions here.
US Stock Express 20260806 DELL SNOW SHEL OCY CVX NVDA PLTR
About the Author
Daniel Yue has been an active investor since 1980, with experience spanning stocks, currencies, futures, metals, and bonds. A scholar of the Chicago School of Economics, he holds a Certificate with Distinction from Cambridge University and a degree in International Trading from National Taiwan University. He served as Chief Analyst for over 30 years and Chief Mentor at Sincere Finance. In 2017, he received an award from the University of Arizona for financial internship leadership.
The analysis and opinions expressed in this article are for educational purposes only and do not constitute financial advice. Investing involves risk. Please consult a qualified financial advisor before making investment decisions.
About the Author
Daniel Yue has been an active investor since 1980, with experience spanning stocks, currencies, futures, metals, and bonds. A scholar of the Chicago School of Economics, he holds a Certificate with Distinction from Cambridge University and a degree in International Trading from National Taiwan University. He served as Chief Analyst for over 30 years and Chief Mentor at Sincere Finance. In 2017, he received an award from the University of Arizona for financial internship leadership.
The analysis and opinions expressed in this article are for educational purposes only and do not constitute financial advice. Investing involves risk. Please consult a qualified financial advisor before making investment decisions.