Tech and AI vs long longs and downside convexity

Let the last phase of the melt-up begin

BlackRock has upgraded U.S. stocks to overweight and believes the AI-Driven rally could expand within the next 6 to 12 months.

"The stock market’s tech-driven rally, fueled by investor excitement over artificial intelligence, should “broaden out as inflation falls further, the Fed starts to cut rates, and the market sticks to its rosy macro outlook,” said a team of strategists led by Jean Boivin, head of the BlackRock Investment Institute, in their weekly commentary research note on Monday.