Shesa's Investment Blog

On March 28, 2025, xAI (Grok) acquired X (formerly Twitter) in an all-stock deal valuing X at $33 billion and xAI at $80 billion , absorbing X’s $12 billion debt. As you may know, both of these are Elon Musk’s companies.  This Wednesday, 4/2 , Trump will be implementing  new reciprocal tariffs , so called “ liberation day ” for many countries. I have listed the top 15 countries those may be hit the hardest. Please see the details below. Having said that, these are just a presumption but what exactly will happen can't be predicted. We have to wait until the declarations to know the real fact.  Top 15 Countries with U.S. approximate Trade Deficits (2024, Goods Only, in Billions of USD). These may be hit hardest. China : -$295.4 Driven by imports of electronics, machinery, and apparel. European Union (EU-27) : -$235.6 Aggregate deficit, with key contributions from Germany and Ireland. Mexico : -$171.8 Vehicles, auto parts, and machinery dominate imports. Vietnam : -$12...

The blood bath on the street continues and shows no sign of relief. Last week, the U.S. stock market experienced a volatile period with a downward trend overall. The S&P 500 and Nasdaq Composite saw significant declines, with the S&P 500 dropping 1.5% and the Nasdaq falling 2.6% for the week, marking their fifth and seventh losses in the last six and nine weeks, respectively. This came after a brief recovery earlier in the week, with stocks gaining on Monday and Tuesday due to optimism about potentially narrower tariff scopes from the Trump administration. However, the momentum faded as the week progressed, with a sharp sell-off on Wednesday ahead of an auto tariff announcement, followed by further declines on Thursday. The Friday decline was primarily driven by a hot inflation report and weak consumer sentiment 57.9 vs. 63. This raised concerns about economic health and the impact of tariffs. So far, S&P 500 down 6.3%, and Nasdaq down 8.1% for March so far. From the a...

Last week, the U.S. stock market showed signs of stabilization after several weeks of declines, driven by moderated fears over tariffs and recession concerns. The S&P 500 went up about 0.5%, attempting to end the week higher despite ongoing uncertainty. The DOW gained about 1.2%, while the NASDAQ saw a modest increase of around 0.2%. This rebound followed a period of volatility, with sentiment influenced by cooling inflation data and the Federal Reserve comment that it still expected to have two rate cuts in 2025. Having said that, the economic growth and trade policies concerns are still lingering. Overall, the market exhibited a mixed but slightly positive trend for the week. Nvidia had its GTC and Quantum computing summit last week which I updated through WhatsApp messages. It's nothing but promising.. A few stocks I would like to accumulate, if I have cash on the sidelines for LONG TERM TESLA ( TSLA ) charging stations, show rooms and Tesla cars were being burnt for last 2-...

Last week, the U.S. stock market experienced significant volatility driven by economic and political uncertainty. The S&P 500 and Nasdaq entered correction territory, dropping over 10% from its recent high , marking its worst weekly loss since March 2023 with a decline of about 4.3%. The Nasdaq Composite fell even harder, down 4.9% for the week, its steepest drop since September—while the Dow Jones lost 4.6%, its worst performance since June 2022. Year-to-date the Nasdaq was down 8.06% , and was down as much as 14.7% from its all-time high. The primary catalyst was ongoing concern over President Trump’s tariff policies, with fears of inflation and economic slowdown weighing on sentiment. A midweek reprieve came as encouraging consumer price index ( CPI ) data showed cooling inflation in February, sparking a brief rally on Wednesday. However, this was short-lived, as stocks plunged again Thursday amid persistent trade war jitters and government shutdown risks. Friday saw a sharp re...

We saw another week for blood bath in the stock market last week. Major indexes dropped midweek due to tariff fears—Dow fell 2.9%, S&P 500 3.6%, and Nasdaq 4.1%—with Nasdaq entering correction territory . It was down more than 10% from its all-tie high. However, Friday saw a rebound (Dow +1.4%, S&P 500 +1.6%, Nasdaq +1.6%) after Fed comments and tariff exemptions, but the week still ended lower.  On 3/6, Broadcom ( AVGO ) released its earnings update for Q1FY25.  Earnings Per Share (EPS):  $1.60 vs. $1.49, up 45.8% YOY. Revenue:  $14.92 billion vs.$14.61 billion, up 25% YOY, AI Revenue was up 77%. Guidance:  For Q2 company guided $14.9 billion vs. $14.76 billion. My view: Broadcom is firing on all cylinders. This stock was beaten down for no fundamental reason, rather it's down due to horrible market sentiment. I like this stock for long term. This week is going to be EXTREMELY CRITICAL because there are some KEY economic reports expected this we...

It was a roller coaster week for the stock market, particularly for NASDAQ. Though, the index was down 4% for the month and 3.5% for the week and about 4% drop in February. Many technology stocks were slammed due to fear of tariff, fear of uncertainty and sectorial rotation. This was the Nasdaq’s worst month since April 2024. The S&P 500 declined roughly 1% for the week and 1.4% in February. Meanwhile, the DOW managed to outperform, rising about 1% in the week. Overall, it was a painful week for the tech stock investors.  What really happened to the Stock Market? The week’s downturn was fueled by mounting economic concerns and a shift in investor sentiment. The Consumer confidence data released Tuesday, February 25, showed a sharp drop—the Conference Board’s index fell to its lowest since August 2021 —raising fears of slowing consumer spending. Jobless claims jumped unexpectedly midweek, and GDP growth for Q4 2024 was confirmed to have cooled, amplifying recession worrie...