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Want to invest in US stocks? A little caution is good!


What about now?
Factoring in steep valuation in the global market, a greater exposure to the US stocks may not be a prudent step at the moment unless you are in it for the long haul. On Monday this week, global markets including US, Europe and India saw a bloodbath. The markets may have recovered, but any adverse news around a new variant of COVID-19 or vaccine development, there could be a significant market crash. Brace up for volatility.  
Also, just because everyone is investing in certain stocks doesn t mean you should also jump into it. The same seems to be happening in Tesla. The fundamentals often belie belief. The twelve-month trailing PE for Tesla is over 1,250. However, with it making its way into the S&P500, one can continue expecting buying activity as the tracker funds purchase Tesla. However, the Street analyst ratings keep Tesla cautious . Only about a third of the analysts state that it is a buy, says Swastik Nigam, Founder and CEO, Winvesta. Similarl ....

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