On Sept 13, stocks saw their worst day in over two years. The Dow Jones Industrial Average (DJIA) fell by 3.9%, while the S&P500 declined by 4.3%. The tech-heavy NASDAQ Composite Index slid by 5.2% as rate-sensitive tech stocks took a beating.
OCBC’s executive director of investment strategy Vasu Menon has advised investors looking to buy stocks on dips should do so “very selectively”.
Menon’s advice comes after US stocks fell sharply on Sept 13, after US consumer prices rose unexpectedly in August. The higher-than-expected increase cemented bets for a third straight 75-basis point rate hike from the US Federal Reserve (US Fed) next week.
