A small struggle, led by technology, is shaping up for Tuesday, as a big earnings week is upon us and COVID-19 worries hover. One distraction right now — the war between short sellers and a group of stock enthusiasts behind GameStop GME,
Maybe one day it will be easier, when the robots can do the thinking for us. That brings us to our call of the day, which comes from the DataTrek Research blog, who wonders whether a fund that relies on artificial intelligence for investing ideas and is heavy on tech stocks right now knows something we don’t.
DataTrek notes the AI Powered Equity AIEQ,
Electric-car maker Tesla TSLA,
What DataTrek found was the fund’s top picks are more tech heavy than last October, when more cyclical flavored stocks such as health care group Pfizer PFE,
“AIEQ seems to have been picking up a good bit of market ‘signal’ in the last 12 months, so the fact that it is lightening up on cyclicals at the top of the sheet and maintaining/increasing its exposure to disruptive tech names (TSLA, SPWR, ENPH) is interesting,” says DataTrek.
What it could mean? A human manager backing away from cyclicals at the moment could be a sign of cold feet over the progress of the COVID-19 vaccine rollout.
As the DataTrek folks say, this AI ETF’s plays mirror those of a successful hedge-fund manager of the 1990s — “well-known stocks that play well-understood themes. Perhaps the real power of artificial intelligence-powered investing is simply not overthinking things too much.”
From Alexis Ohanian, husband of tennis star Serena Williams and co-founder of Reddit:
Reporting ahead of the market open, shares of conglomerate General Electric GE,
Shares of e-commerce website Etsy ETSY,
The Federal Housing Finance Agency house price index, the S&P Case-Shiller home price index, and consumer confidence data are all ahead.
European Union officials had a tense chat with pharmaceutical group AstraZeneca AZN,
Lawmakers are moving forward with an impeachment trial of former President Donald Trump.
Shares of Chinese technology conglomerate holding company Tencent 700,
Like any good Spaniard will tell you, naps are a good thing.
Snowball fights in locked-down U.K.? That could cost you.
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