Is long AI short yen the same trade?
Gray line is 30-year T-bond yield relative to tech 12 month forward earnings yield ratio Dotted green line is EUR/JPY Source: www.zerohedge.com
US Chips Act is reshaping global semiconductor landscape
• America looks set to produce around one-third of global supply for leading-edge chips by 2032 • US rise will come at expense of South Korea, which could become minor player for top-notch chips Source: Agathe Demarais
Bank of America survey shows continued optimism on Big Techs
Source: Bloomberg
Has the Magnificent 7's earnings growth peaked?
In Q2 2024, the Magnificent 7' net income, excluding Nvidia, $NVDA, rose by 30% year-over-year, the slowest growth since Q2 2023. This is down from 51% in Q1 2024 and below the record 57% seen in Q4 2023. It is estimated that the growth rate will decelerate further to ~17% in Q3 2024. Source: The Kobeissi Letter
As the Mag 7 slow the rest of the SP500 is showing signs of improving growth
Source: Bloomberg intelligence, Markets & Mayhem
Hedgefunds are buying the dip in tech, per Goldman
Source: Goldman Sachs, Markets & Mayhem
$AMD Q2 2024: "Our AI business continued accelerating and we are well positioned to deliver strong revenue growth in the second half of the year" - Lisa Su, CEO
Details by Quartr: Revenue +9% *Data Center +115% *Client +49% *Gaming -59% *Embedded -41% Gross Profit +17% *marg. 49% (46%) EBIT +1445% *marg. 5% (0) EPS +700%
Microsoft and Alphabet are now exactly on par since the launch of ChatGPT at the end of November 2022.
Source: HolgerZ, Bloomberg
