TechFlow News, Charles Schwab Hong Kong financial advisor Lin Cheong-kit said that the U.S. may be undergoing a rolling recovery, and given that U.S. stocks continue to show resilience, he expects the Federal Reserve could begin cutting interest rates two to three times in the second half of this year. He remains positive on U.S. financials, energy, and materials sectors that benefit from the high-interest-rate environment.
Earlier, Bitcoin prices hit new highs repeatedly, briefly surpassing silver to become the world's eighth-largest asset. Lin noted that Bitcoin is a new type of investment product that will likely attract a segment of investors. However, due to incomplete regulation, limited overall trading transparency, and weaker investor protection, Bitcoin is unlikely at this stage to replace traditional investments such as stocks and bonds.
He emphasized that cryptocurrencies are highly volatile and risky; investors should allocate based on their own risk tolerance. Therefore, he does not recommend ordinary investors treat such assets as long-term holdings, but rather use them solely as speculative instruments.
He also mentioned that although Hong Kong's first batch of spot virtual asset ETFs has already launched, his firm currently does not offer clients specific investment advice or portfolio allocation regarding these products. However, if clients request, the company can provide relevant information and data.
