Stock traderReuters
The “Magnificent Seven” dominate the stock market to a worrying extent, one expert says.
Deutsche Bank’s economics chief, Jim Read, said investors should be wary of an economic slump.
The US is now in the “snipers’ alley” of recessions now based on when previous downturns hit, he said.
The “Magnificent Seven” are dominating the stock market to a worrying degree — and investors are underestimating the risk of a recession, one expert says.
Microsoft, Apple, Nvidia, Amazon, Alphabet, Meta, and Tesla are collectively valued at more than $13 trillion, representing about a quarter of the entire US stock market.
“My natural inclination is to say this is crazy,” Jim Read, the global head of economics and thematic research at Deutsche Bank, told the “Merryn Talks Money” podcast this week.
“As an economic historian, I have a bias to believe that this is nonsense and doesn’t make sense and is warning us of more difficult times to come,” he added.
However, Read noted the Big…
2024-02-23 20:34:28
Link from finance.yahoo.com