Op-ed: This is what investors are misunderstanding about tech stocks

  • 📰 CNBC
  • ⏱ Reading Time:
  • 54 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 25%
  • Publisher: 72%

Malaysia News News

Malaysia Malaysia Latest News,Malaysia Malaysia Headlines

Tech stocks have fallen out of favor as the “reopening trade” commands investors’ attention. It just might present a buying opportunity.

In one form or another, despite two surges in February and again in April, the "reopening trade" has dominated the U.S. market since last fall.

Pundits regularly proclaim the demise of the technology stocks, predicting their continued underperformance, and citing the numerous reasons why this trend should persist. Whether the thesis is higher interest rates, inflation, excessive valuation, or the surging start-up economy, the tech names are now considered underdogs.My initial reaction is non-statistical and gut-based, which means it's worth less than the screen it's typed on: almost everyone pontificating about the market today is very negative on technology stocks, so that feels like a bullish signal to me.A banner for Snowflake Inc.

The popular term "tech sector" generally encompasses a wide range of stocks that belong to the official S&P technology group, such as Apple and Microsoft, but also digital powerhouses Google and Facebook, both of which sit in the "communications services" sector.

Bubbles that built up in various groups, such as the Robinhood and Reddit favorites, have already popped to some extent, with many stocks, such as Tesla,

 

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

 /  🏆 12. in MY

Malaysia Malaysia Latest News, Malaysia Malaysia Headlines

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

Forget the crypto chaos. Look at this underappreciated sector for stock-market gains, says strategist.Don't worry about the crypto chaos, this strategist says. Instead, he recommends investors look at this underappreciated sector for stock-market gains: energy.
Source: MarketWatch - 🏆 3. / 97 Read more »

Target, Take-Two, Lowe’s, Bitcoin: What to Watch When the Stock Market Opens TodayStock futures fell, with tech shares poised to lead declines when markets open
Source: WSJ - 🏆 98. / 63 Read more »

Veteran investor Mark Mobius likes India stocks despite the country's Covid crisisMobius, who's founding partner of Mobius Capital Partners, said it's 'quite amazing' that India's Covid crisis has not affected the stock market much. Stable corruption free govt. Plus cheap, highly skilled labor The Moorish Science Temple of America sends their blessings Bless
Source: CNBC - 🏆 12. / 72 Read more »

Stocks fall for the second straight day, led down by techTech stocks powered the market rebound last year, but they're up only 2.6% this year -- the lowest gain among the S&P 500's 11 sectors. Why does NYC Wall St alwayz gotta hammer Palo Alto, CA n their UC Berkeley Brood$
Source: latimes - 🏆 11. / 82 Read more »