Millennials have made mega-cap tech stocks the kings of the market. But one expert says the party is almost over, and warns of a vicious reckoning.

  • 📰 BusinessInsider
  • ⏱ Reading Time:
  • 45 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 21%
  • Publisher: 51%

Business News News

Business Business Latest News,Business Business Headlines

Vincent Deluard, the director of global macro strategy at INTL FCStone Financial Inc., thinks the Millennial-led bull market has reached its peak.

— stocks the majority of millennials would never dream of living without. Imagine not being able to Google something, accept a new friend request from Facebook on your iPhone, or watch Netflix through your Fire TV Stick. It's a scenario unthinkable to most.

He's focused on how growth is starting to slow for these firms. Considering profit expansion has been the single biggest driver of stock gains throughout the bull market, that's a problematic development. Boomers pushed the Nifty Fifty stocks to sky-high valuations as they became infatuated with emerging brands and trends. But as they started to mature, and their preferences and tastes started to change, the stocks that associated with their adoration experienced massive drawdowns.

"The Nifty Fifty provide an interesting historical precedent for investors: these high-growth stocks which catered to the tastes of the rapidly expanding cohort of boomers reached their peak in 1972," he added."Most of these companies kept doing well, but their high-multiple, high-growth stocks were decimated in the brutal bear markets of the 70s."

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

So Millennials are killing: *Pulls out pen and flips through heavily worn notepad* *Scribbles 'mega-cap tech stocks'* *Wipes away tear*

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 729. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

China's new tech market has already made three billionairesIt only began trading on Monday, but China's new Nasdaq-style market has already propelled three tech executives to billionaire status. 21st century is the Chinese century realDonaldTrump How's your trade war going? 科创板
Source: CNN - 🏆 4. / 95 Read more »

These 5 technical indicators are sending warning signals for the stock marketMeasures of market breadth have deteriorated in recent weeks, and analysts say this dynamic may foretell a significant pullback ahead for the S&P 500 Not true. The Russsell 2000 was up almost 2% today.
Source: MarketWatch - 🏆 3. / 97 Read more »

Warning: The stock market could be about to drop through this ‘trapdoor’Back in 2007, when Wall Street was careening toward the financial crisis, the S&P 500 split from the consumer discretionary-to-consumer staples ratio, in a sign that appetite for risk was drying up even as the broader market pushed higher. Now, as Jesse Felder points out this week on the Felder Report blog, we’re seeing the rare divergence pop up once again 😂😂😂😂 Give this crap a rest. As an investment journalism outlet you should be educating people on the wealth building impact of consistent long term investing....Not taking every opportunity to scare people out of the market just for some clicks and revenue. Shame on you. You sold out “Marketwatch”...funny....If people actually followed your headlines they’d do just that....watch the markets from the sidelines. Stop scaring....start educating.
Source: MarketWatch - 🏆 3. / 97 Read more »

DOJ reportedly to open broad antitrust review of Big Tech; tech stocks dipThe IMF trims its economic growth forecast again as the U.S.-China trade war continues, Brexit worries linger and inflation remains muted. CoachJoeyZ
Source: CNBC - 🏆 12. / 72 Read more »