Wall Street is all stunned...
My goodness, how did the world's richest person end up in a feud with the president of the number one superpower, acting like elementary school kids?
The most absurd part is that today the A-shares created a "Musk-Trump brawl Concept stock"???
When it comes to chasing the hot trends, who can be faster than our A-shares...
1
Are Trump and Musk going to reconcile?
The argument between the two "most powerful figures" in the world goes as follows:
One says you can't win without me, it's simply "ingratitude"; the other says you're just a "madman," just because I touched your cake; one threatens to cut off your financial resources, while the other is willing to rip apart their relationship to expose your shocking secrets...
This historically significant verbal battle has completely stunned the elites on Wall Street.
On June 5th, Musk and Trump engaged in a heated argument over the 'Big is Beautiful' bill, resulting in a 14.26% drop in Tesla's stock overnight, leading to a market cap loss of approximately 150 billion dollars. (Musk has certainly lost money in various trades since acquiring Twitter.)
Wayne Kaufman, Chief Market Analyst at Phoenix Financial Services, commented, 'This whole thing is just ridiculous; someone in such a high position should know better than to act like a middle schooler.'
While Wall Street was still processing the shockwave from the public fallout between Trump and Musk, the White House urgently initiated crisis public relations to prevent the situation from escalating, arranging for the two to have a call the next day (June 6th) to facilitate a reconciliation.
Trump and Musk also seem to be looking for a way out.
When Trump was asked about the public falling out with this former staunch supporter, he casually said in a phone interview, 'Everything is fine, unprecedentedly fine.'
American billionaire and hedge fund manager Bill Ackman posted on social media platform X, calling for a reconciliation between Trump and Musk: 'I support Trump and Musk; they should reconcile for the sake of our great country.'
Musk replied, "You're right."
The market was also accommodating, with Tesla's stock rising 5% pre-market.
The most outrageous thing is that the A-shares actually found a sense of existence in this matter, creating a "Musk and Trump verbal battle Concept stock"...
(Source: Internet)
Fortunately, the stock prices of the aforementioned "Musk and Trump verbal battle Concept stocks" did not have any unusual movements today, proving it was just a joke.
(The content of this article consists of objective data information and does not constitute any investment advice.)
2
The "New Consumption F4" in the Hong Kong stock market has pulled back for the second consecutive day.
The "New Consumption F4" in the Hong Kong stock market has pulled back for the second consecutive day.
Today, apart from POP MART, which turned from green to red with an increase of 0.74%, MAO GE PING, MIXUE Group, and LAO PU GOLD have seen cumulative declines of 12%, 13%, and 9% over the last two days, respectively.
One thing that cannot be denied is that the "New Consumption F4" is really strong!
As of June 4, almost every day has seen historical highs! The stock price of LAO PU GOLD has tripled this year, MIXUE Group has doubled, and POP MART and MAO GE PING have both increased by over 100%.
With such a large profit accumulation, the "New Consumption F4" faces noticeable profit-taking pressure.
The market has summarized the reality behind the soaring stock prices as - self-indulgent consumption.
It sounds reasonable; young people who do not marry, do not have children, and do not work overtime need to spend their time and money on themselves.
Currently, there is a consensus in the All Market: the importance of consumption has reached an unprecedented height!
However, where there is divergence is whether to bet on old consumption represented by liquor and Autos, or on new consumption led by POP MART.
Who can truly take on the responsibility of leading consumption?
The rise of the "Hong Kong Stock New Consumption F4" seems sudden, but the wheels of fate appear to have begun turning six years ago.
Before 2019, discussions about consumption upgrades, new retail, and new consumption were in full swing; in March 2018, Zhong Xuegao was established, and its first product was priced at 66 yuan for a single "Ecuadorian Pink Diamond."
Starting in 2020, terms like "involution" and "lying flat" began to dominate the entire Internet discourse system. In June 2021, due to the founder's remark "love doesn’t have to happen," Zhong Xuegao was quickly pushed to the forefront of public opinion.
In 2024, the temple economy explodes, and young people are choosing "incense burning" between work and ambition; the "opening blessing bracelets" at temples like Yonghe Temple and Lingyin Temple are in high demand, with a 300% year-on-year increase in visitor numbers at major national temples in the first quarter of 2025.
When consumers no longer pay for brand premiums but rather pursue cost-effectiveness, the shift from "material necessities" to "emotional necessities" cannot be simply summed up by the term "consumption downgrade."
It seems that due to the changes in young people, the consumption market is undergoing an unprecedented revolution.
Data from 2010 to 2018 shows that the population aged 20-39 is the primary driving force behind consumption growth, meaning that changes in young people's consumption will have a crucial impact on the future direction of the consumption market.
3
Is a bubble forming in new consumption?
The secondary market reflects this change very accurately.
The "New Consumption F4 of Hong Kong Stocks" needs no further explanation, and the A-shares also reflect the trend of "self-satisfying consumption."
This year, among the segmented directions of the consumption Sector in A-shares, the beauty and personal care Sector saw the highest increase, followed closely by The Pet Economy Index with a 27% increase, while the once highly sought-after liquor Sector came in last.
In the current environment, people are reducing their anxieties about buying houses, cars, and raising children, focusing more on self-satisfaction. The market believes that in the next five years, the "Emotional Economy" is expected to become at least a trillion-level track.
From the Index perspective, the Hang Seng Consumption Index will become the index with the highest content of the "New Consumption F4 of Hong Kong Stocks"!
As of June 5, the top ten constituent stocks of the Hang Seng Consumption Index are POP MART, ANTA SPORTS, YUM CHINA, TECHTRONIC IND, Trip.com Group, NONGFU SPRING, WH GROUP, MENGNIU DAIRY, HAIER SMARTHOME, and Shenzhou International Group Holdings Limited Unsponsored ADR.
Among them, Trip.com will be removed from the Hang Seng Consumption Index on June 9, and MIXUE Group will be added to the index. As early as March 10 this year, Lao Pu Gold and Mao Ge Ping were included in the Hang Seng Consumption Index, increasing by 46% and 32%, respectively.
Starting from June 9, the "New Consumption F4" in Hong Kong stocks, consisting of POP MART, MIXUE Group, Laoshu Gold, and Mao Ge Ping will gather in the Hang Seng Consumption Index.
Currently, there are three ETFs tracking the Hang Seng Consumption Index, namely Invesco China Hang Seng Consumption ETF, GF Fund Hang Seng Consumption ETF, and Huatai-PB Hang Seng Consumption ETF.
Is there really no opportunity left for old consumption?
Xia Junjie from Renqiao Asset recently expressed his views on new consumption, believing that at the current stage, new consumption is overall overheated and stock prices have significant bubbles.
Xia Junjie stated:
Although it is difficult to seek bubbles, I have seen the exaggeration of queues at Laoshu, and the extreme cost control of MIXUE, but when the market cap of POP MART far exceeds the combined market cap of Hasbro and Mattel; when Laoshu surpasses the market cap of CHOW TAI FOOK; when MIXUE exceeds the combined market cap of the largest domestic chain Chinese restaurant (HAIDILAO) and chain Western restaurant (YUM CHINA), I believe this should be unreasonable.
Therefore, it is believed that compared to the hot new consumption, the team is more inclined to look for opportunities in undervalued traditional consumer goods.
