As we kick off the new year, BofAML’s Savita Subramanian is out warning about a dynamic that has the potential to trigger a similar shift out of crowded names and into neglected stocks.
Who’s still drunk?
You’re not buying enough of those “damn robots.”
Well on Wednesday, things got worse – and materially so.
No sooner had markets made Wednesday’s tech bloodbath a distant memory by staging a furious rally on Thursday predicated almost entirely on tax cut optimism, than things went awry in the Senate where lawmakers, still wrangling over the tax plan’s implications for the deficit, suspended voting until Friday.
You can draw your own conclusions there…
It was a good day for the “future.”
No, you should not buy growth at any price.
“Let me in.”
“During the last couple of weeks I have noticed that often Nasdaq underperforms the broad market, and it looks more tired than Lindsay Lohan’s probation officer.”
There will be blood.
“It seems that everywhere you look these days, tech is under attack.”
These concerns have found expression in cautious notes from Goldman and lengthy missives penned by the likes of Howard Marks, who in July implicitly compared the current environment to the “perpetual motion machine” that was at work just prior to the dot-com bust.