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Sector rotation trading underway: Are you on board?
Last Friday, $NVIDIA (NVDA.US)$’s investments in $SoundHound AI (SOUN.US)$ surged over 18%, while $Recursion Pharmaceuticals (RXRX.US)$ saw Show More
Last Friday, $NVIDIA (NVDA.US)$’s investments in $SoundHound AI (SOUN.US)$ surged over 18%, while $Recursion Pharmaceuticals (RXRX.US)$ saw a gain of 10.82%. Recently, sector rotation in U.S. stocks has kicked into high gear. Overvalued giants and looming rate cut expectations continue to pressure the tech sector, driving investors towards more cyclical segments of the market, such as banking and beneficiaries of new policies.

Standout earnings reports have also renewed investor interest in the AI applications sector. Since their earnings announcements, $Snowflake (SNOW.US)$ has increased by 35.38%, $CommVault Systems (CVLT.US)$ has jumped 25.28%, and $Q2 Holdings (QTWO.US)$ has risen over 15%. $Salesforce (CRM.US)$ is also poised to release its earnings post-market on Tuesday, with analysts optimistic about its advancements in AI within its CRM services.

🎙️Discussion:
1. How will you position in the AI application sector?
2. Which other sectors are you bullish on?
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