russellclark

Should I add to the wafer trade? Its a good question. Having looked at the wafer stocks, and read various analyst reports, there is no good third party metric to look at to signal now is the time to buy. We are only left with stocks. Today, SUMCO broke to new cycle highs, while WAF GY and GlobalWafers are also looking perky. From an investing point of view, its now when silicon wafer prices rise thats important - it is when the market begins to price in a future rise that is important. And that may be happening. The big tell is if SUMCO and WAF GY can trade up on a down day in the market.

Am I wrong on bonds? JGBs and even German bond yields have hit highs recently...... but If I look at the performance of Staples... then seem to be implying a huge fall in bond yields...

Sony reported good results and boosted forecast, and the stock spiked and then sold off, to end flat. I am always cautious when good results are not rewarded by the market - its means that there is something else to look at. With gaming stocks, I think it is the cost pressure of memory chip price spike. We will see.