Over the next year, we may see a rotation of money away from big tech and into consumer cyclical, value stocks according to Andrew Pease.
The driving force of this rotation may be money coming out of the U.S. and going into Asia and other parts of the world.
The U.S. market is all about big tech and if America’s big tech companies falter, especially when Trump is pushing to break up America’s big tech companies, money could go into Europe and Asia as those markets take a leadership role over the U.S.
I have long said that the legislative action taken by Congress to possibly delist China companies from U.S. markets, has a big component of capital flight control and stopping money from coming out of U.S. markets and going into China and other countries that have handled this pandemic better.
Andrew Pease, global head of investment strategy at Russell Investments, discusses big tech and market drivers. He speaks with Matt Miller and Annmarie Hordern on “Bloomberg Markets: European Open.”