Double effect : USD and tech increase. Once again, US tech seems to be the right place to be in this market.
Main reasons apparently : - fear of a recession pushes USD (as often in this kind of circumstances) and decreases long term rates, - tech results expected to show some good resistance.
I am still not convinced that long term rates can stay this low or further decrease, but the other 2 elements could continue to play in favour of US tech. In particular after their correction YTD, which has brought back their valuation at a more reasonable level.
What are the ways to invests in this trend in the Australian market ? - invest in funds like MGF, VG1 and even Hyperion Global Growth (at the stage, the market does not discriminate much between the tech which are expensive and the others), - invest directly in tech, like Block (SQ). Honestly, I have never been very comfortable with listed tech stocks in Australia, as they still do not have a major earning basis. I also prefer to invest in funds, as the risk of earning disappointment for individual stocks is significant.
