Free Trial

‘Long US Tech’ Remains The Most Crowded Trade

US
  • According to the latest BoA Global Fund Manager Survey, investors remain extremely bullish on tech stocks, which have been among the biggest post-Covid winners.
  • In the past 18 months, the significant increase in global liquidity has been one of the main drivers of the spectacular recovery in global equities, and especially the US growth stocks.
  • However, momentum on risky assets could start to fade as Fed starts to tighten its policy.
  • Investors are now pricing up to 4 rate hikes for this year.
  • We saw that the Nasdaq Composite broke below its 200DMA support this week, leaving the index vulnerable in the short run.
  • Even though monetary policy still remains accommodative globally, the deceleration of liquidity combined with rate hikes could result in greater volatility this year.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.