Market Musings 200424: Tech profit-taking, Metals lead

Market Musings 200424: Tech profit-taking, Metals lead Podcast: Summarising the current impact of Israel-Gaza-Iran tensions on financial marketsReport: BNPP WM Equity Focus April 2024Don’t assume that bonds always hedge stocks… (from Bank of America) 1. US mega-cap tech profit-taking correction finally starts On Friday, pre-results Nvidia led profit-taking in 2024′s high-flying tech names including Super Micro Computer and AMD. Other tech-related names hard-hit: META Meta and NFLX Netflix. This leaves the QQQ Nasdaq 100 ETF up less than 6% for the year to date. Source: tradingview.com 2. In contrast, US value sectors Energy and Financials rose Despite the Brent crude oil price easing back to $87/barrel post the limited Israeli riposte to the recent Iranian missile and drone strike, XLE Energy rebounded modestly and continues to post strong year-to-date performance at +12%.  XLF Financials (banks + insurance) also rebounded after dipping post poor guidance from banking heavyweight JPM JP Morgan, offset by better results from the likes of GS Goldman Sachs and MS Morgan Stanley.  Source: tradingview.com 3. The VIX volatility index spikes, but still far below 2023′s peaks The reaction…