Asset Allocation
Despite High Market Concentration, Investors Are Holding On
Institutions might be willing to maintain their bet on concentrated markets, if top-performing equities grind higher.
Tag: Magnificent Seven
Market Moves
China’s DeepSeek Puts a Question Mark on AI Spending
The startup’s innovative AI model is raising questions about the future of AI stocks and capex.
Research
The Market’s Big Tech Concentration Is Not a Problem, Robeco Report Finds
Even if an economic dip sends stocks lower overall, the Mag Seven’s earnings should hold up, the Dutch firm says.
Corporate Moves
Good News: Earnings Log Best Growth Rate Since Post-Pandemic Surge
S&P 500 profits are headed for a good 2024, a FactSet survey shows.
Market Moves
The Question for Nvidia: How Fat Will Its Earnings Be?
Amid high expectations, the AI-oriented chip firm is scheduled to report its quarterly results on Wednesday.
Newsmakers
Chris Ailman Bids Farewell at Final CIO Report
The investment chief, retiring this summer after more than 24 years at CalSTRS, lists hopes and worries.
Research
Magnificent Seven’s Earnings Have Peaked, BofA Says
The big tech companies’ previous cost cutting boosted profits, but that stimulus is abating, per a bank study.
Asset Allocation
Move Over, Magnificent 7, as Other Stocks Rise to Glory
Prosaic financials and industrials perform like tech hotshots, Truist notes.
Asset Allocation
Bonds Should Climb Nicely in 2024, WTW Predicts
Dropping central bank rates will help a lot, with the 10-year Treasury total return rising as much as 13%, the firm contends.
Risk
Investors’ Interest Rate Expectations Unrealistic, per NEPC
After many years of low borrowing costs, too many people have the delusion that these will return, NEPC warns.
Risk
BofA Still Positive About 4Q 2023, as Other EPS Estimates Deflate
The pessimistic takes come after the third quarter’s rebound from the earnings recession.
Market Drivers in 2024: The Magnificent Seven? Something Else?
The mega-cap tech giants appear invincible. But things always change in the market.
Asset Allocation
Expectations Wobble for Another Decade of Strong Equities
It’s a ‘particularly perilous’ time to forecast ongoing stock outperformance, says a new report from AQR.
Risk
Nvidia Results Romp, So How Come Its Stock Slipped?
Market-wide forces are impacting the high-flying shares, which have led the S&P 500 all year.
Market Moves
Tech Stocks’ Multiples Too Rich to Keep Fueling S&P 500 Rise, Says Sage
Historically, when the sector’s P/Es are this high, its market performance flags over the next 12 months, per Jack Ablin.