Is tech still the top dog? Strategist talks investor trends
AI has been a significant driver for markets (^DJI, ^IXIC, ^GSPC) this week coming off of Apple's (AAPL) "Apple Intelligence" showcase at its Worldwide Developers Conference (WWDC). The major market averages have calmed Friday morning, all opening the session lower as the Dow Jones Industrial Average even falls by over 300 points. Charles Schwab Head Trading & Derivatives Strategist Joe Mazzola breaks down the sectors where is starting to see more investor interest and pullbacks in. "Even though there was a slight uptick in the net buys over sells [in May], there was a bit of a churn underneath the surface when it came to the dollar amount," Mazzola says. "So, you know, when I see something like that, you know, that kind of stands out a little bit. It basically says that there were more net buy buyers and sellers, but some of the larger accounts started to maybe trim some of those positions" such as the headlining Magnificent Seven tech stocks. Mazzola also comments on when he believes the Federal Reserve could begin to cut interest rates this year ahead of the 2024 presidential election. In its forecast for the second half of 2024, JPMorgan Asset Management predicts the stock market rally to broaden out from the tech sector, namely the players in the Magnificent Seven. For more expert insight and the latest market action, click here to watch this full episode of Morning Brief. This post was written by Luke Carberry Mogan.
