The recently dubbed “Lag Seven” players are once again… lagging.
After a brief comeback on Wednesday, fueled by the Federal Reserve, most of the major tech giants lost steam by late Thursday trading. The exceptions: Nvidia (NVDA) and Meta (META), which each rose a modest 0.8% and 0.7%, respectively, with less than twenty minutes left until the closing bell.
Still, nearly all of the “Magnificent Seven” stocks are off by about 20% from their 52-week highs as risk-off sentiment pervades markets on the heels of greater policy and Fed uncertainties. Tesla (TSLA) is off more than 50%.
“With this uncertainty perhaps persisting, I don’t think this is the time to look for home runs and make big risk bets, particularly before April 2nd,” Michael Kantrowitz, chief investment strategist at Piper Sandler, told Yahoo Finance on Thursday.
“I do think maybe if there are really higher quality names that offer some stability, that’s the type of stuff that we’ve been recommending in this volatile backdrop, and we think we’re going to have quite a bit of volatility.”
