Dan Bin Shares Viewpoint on Deleveraging Pullback as a Healthy Market Performance, Nasdaq Rebound May Continue Until Nvidia's Earnings Report

On August 3, Dan Bin, chairman of Dongfang Hongyuan, shared the views of Morgan analysts, pointing out that the chip sector experienced a sharp decline and leveraged liquidations in July. However, during the AI cycle, such pullbacks are a necessary path that reflects a healthy market. The market has yet to fully understand the infinite demand potential of AI, and concerns over capital expenditures from tech giants have echoed the early story of Amazon AWS, with AI opportunities being even more substantial. Funds are flowing back from low-quality tech stocks to high-quality targets, confirming the judgment of a "return of the king" by the end of 2026. Storage chips face cyclical risks and high volatility, and it is advised to wait for technical repairs, with a more optimistic outlook on fundamentally solid companies like Nvidia, Broadcom, and TSMC, as funds will flow towards quality application layers. The business of hyperscale cloud providers is accelerating growth, with a large reserve of orders and increasing growth rates, indicating that the punishment for capital expenditures is a misjudgment, and these investments will translate into future revenues. Looking ahead to August, the Nasdaq rebound is expected to continue until Nvidia's earnings report, with the tech sector's rolling adjustments nearing an end, and funds accelerating back into high-quality tech stocks. For the chip and storage sectors, it is currently inadvisable to chase high prices blindly; investors may adopt a short-term strategy of buying on dips until the storage sector's technical indicators show a bottoming pattern.

This content is provided for general informational purposes only and doesn't constitute financial, investment, legal, or tax advice. Any events, rewards, online promotions, or related information mentioned herein should not be considered a recommendation, solicitation, or invitation to purchase, sell, trade, or otherwise deal in any crypto assets. Crypto assets are highly volatile and may result in loss. The availability of WEEX services, products, and related events may vary by region. You are responsible for ensuring that your participation is in accordance with applicable local laws and regulations.