Institution: US stocks may have reached a short-term bottom, but the rebound foundation still appears fragile.

After the market fluctuations triggered by geopolitics, the US stock market recently showed a "V-shaped reversal." Matt Powers, managing partner of Powers Advisory Group, stated that the market may have reached a short-term bottom, but the overall trend still highly depends on external factors. From the performance of the markets, the Nasdaq has recorded 12 consecutive trading days of gains, the longest streak since 2009; the S&P 500 index has also returned to high levels within just 15 trading days, demonstrating strong resilience. Powers pointed out that this rapid recovery indicates that the fundamental trend of the market is still stable, "reflecting a strong ability to withstand pressure." Despite the swift rebound, Powers cautioned that the current market still belongs to a typical "headline-driven market." Changes in oil prices, Federal Reserve policy, and geopolitical situations could quickly alter market sentiment. He stated, "Although some macro risks have been digested by the market, we have not completely emerged from the shadow of uncertainty." It is worth noting that this round of rebound shows a clear structural feature. Powers noted that about 40% of the gains since the low point have been contributed by a few large tech stocks, including Nvidia, Microsoft, Apple, Alphabet, and Amazon. At the same time, the equal-weight S&P 500 index has significantly lagged behind, indicating that most stocks have not participated in the rally. Powers believes that this "few weighted stocks-driven" market is not healthy and is not conducive to forming a sustainable upward trend. For the future market, Powers emphasized that if the market hopes to continue its upward trend, more sectors and individual stocks need to participate to improve market breadth. Also, corporate earnings performance will be a key factor supporting the market. Despite increased volatility in the recent period, investor sentiment remains relatively stable. Powers stated that based on communication with clients, there is no panic selling in the market currently, and investors are still holding their positions. He advised investors to avoid chasing short-term news fluctuations, especially during periods of geopolitical turmoil. "One of the biggest mistakes in the market is trying to react to every piece of news," he said, emphasizing that the market often rebounds quickly after the worst times, and missing key up days could significantly impact long-term returns.