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Hi Tigers, welcome to ”What the Tigers Say” [Cool]

This is a weekly column planned to share the great opinion from Tigers on ‘Bull vs. Bear: Is the Tech Sector's Rebound Sustainable?’

The $S&P 500(.SPX)$ rose for the fifth consecutive week, both the $NASDAQ(.IXIC)$ and the $S&P 500(.SPX)$ hit their highest levels since April 2022. The performance of the tech sector plays a significant role in shaping market sentiments and investor strategies.

Is the tech sector primed for a bull run, or will a bear market prevail?

Below are some insights from Tiger @Capital_Insights, @NAI500 and @Twelve_E. Which opinions do you agree with？

🎁Special Notes: Whoever showed on the” What the Tigers Say” column will receive 100 Tiger Coins and an exclusive interview invitation to honor of your contribution.

Click titles to read the full analysis:

1. @Capital_Insights: S&P500: Bear vs. Bull, Wall Street is Increasingly Divided

Key Points:

• A survey of market sentiment by the American Retail Investors Association showed that bullish sentiment in U.S. stocks outstripped bearish sentiment in the latest week by the largest margin since November 2021. All in all, optimism has soared too fast, and investors who are afraid of missing out on this round of opportunities are not only chasing this round of gains but also believing that the US stock market can continue to rise in the future.

• Against this backdrop, strategists led by Mislav Matejka say that while they remain overweight growth stocks over cheaper so-called value stocks, they see defensive stocks as more risk-reward for the rest of the year. The sectors they recommend include healthcare, essentials and utilities.

• The next test for stocks could be the Federal Reserve's next rate decision, which will tighten policy further in July, which could end up being the catalyst for a market correction.

2. @NAI500: Tech Giants Lead the Way: The Bear Market is Over

Key Points:

• The tech sector often serves as a leading indicator for the economy and the stock market. These companies are typically quick to cut expenses in areas such as digital advertising, software, and cloud computing, meaning their stocks tend to decline before the broader market and recover earlier. This trend seems to be reflected in the current market.

• The first-quarter earnings results further support the idea that the tech recession has come to an end, except for Tesla. While most companies experienced only modest revenue growth in Q1, it is the shift in the economic downturn that matters.

• This is another sign that the worst phase of the tech recession is over, and the industry's overall bullish sentiment, particularly regarding artificial intelligence, supports its recovery.

3. @Twelve_E: Bull vs. Bear: 5 Crucial Factors to Consider in the Short-Term

Key Points:

• Prominent market leaders such as $Apple(AAPL)$ and $Microsoft(MSFT)$ are nearing their all-time highs. Often, when stocks recover to such levels after a prolonged decline, they encounter initial selling pressure. Given their significant weightings in the market, any consolidation or pullback in these leaders could impact the overall market sentiment.

• While several short-term indicators point towards a market that may require a period of rest or consolidation, accurately predicting the timing and extent of a pullback remains challenging. During the early stages of bull markets, overbought levels can become even more pronounced. As an investor, it is crucial to maintain an odds-focused mindset, weighing the risk-reward ratio and considering the evolving market conditions.

Questions for you:

Bull vs. Bear: Is the Tech Sector's Rebound Sustainable?

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⏰Duration

• 28 June (24pm EDT)