CNBC Top News
중도 성향
IT/기술
Chip rebound sparks hedging flurry from traders
Despite the overall bearish sentiment on the cohort, traders put a few bullish bets on potential semiconductor winners.
"REBOUND" · 총 68건
필터 보기현재 지수
50.3
0 = 부정 우세
50 = 중립
100 = 긍정 우세
최근 7일 기준 86,590건을 분석한 결과, 뉴스 심리지수는 50.2(균형)입니다. 긍정 4,446건(5.1%)·중립 79,974건(92.4%)·부정 2,170건(2.5%)이며, 중립 비중이 뚜렷하게 높습니다. 성향 지수는 종합 15.2(중도 균형)입니다.
Despite the overall bearish sentiment on the cohort, traders put a few bullish bets on potential semiconductor winners.
Friday’s Nasdaq rout looked like the start of a real repricing. By Monday, chipmakers were rebounding.
Chip stocks are bounding back Monday, but the rebound doesn't mean tech investors are in the clear, according to Mike Khouw.
The Dow Jones Industrial Average added 0.7% to 51,211.81 while the S&P 500 rose 0.9% to 7,447.95.
The S&P 500 and Nasdaq were up as chipmakers rebounded after Friday's brutal selloff.
Alas Pilipinas rebounds from a heartbreaking five-set loss to Australia and bolsters its chances of advancing to the semifinals of the AVC Women’s Volleyball Cup
An unprecedented concentration crisis in global technology equities has evolved into a structural trap for investors, triggering a violent "Black Monday" unwind that is reverberating across Asian emerging markets, such as Korea and Taiwan. Active portfolio managers are increasingly being forced to dump their best-performing chip heavyweights because these explosive stocks have grown too large for risk compliance limits.This structural anomaly has distorted regional benchmarks, accelerated a massive migration from active to passive funds, and triggered a historic correction.The structural breakdown manifested in extreme volatility across the region's tech hubs. South Korea’s Kospi index plunged more than 8% shortly after the market opened, triggering a mandatory 20-minute trading halt before narrowing its drop as memory giants Samsung Electronics and SK Hynix rebounded from their session lows.Also Read | Kospi crashes 9%, trading halted for 20 minutes, as chip rout deepens; Samsung, SK Hynix worst hitThe Cycle of Forced SellingThe core of the market distortion lies in a mechanical paradox: As tech giants outperform, active funds are legally or structurally required to trim their holdings to manage concentration risks. Just three mega-cap tech firms—Taiwan Semiconductor Manufacturing Co. (TSMC), Samsung, and SK Hynix—now command nearly a third of the MSCI Asia Pacific ex-Japan Index.The concentration is even more extreme on a national level. TSMC occupies a staggering 41.5% of Taiwan's TAIEX, while Samsung and SK Hynix together comprise 55% of South Korea's KOSPI."We have been forced sellers of TSMC, Samsung and MediaTek," Sam Konrad, investment manager for Asia Equity Income at Jupiter Asset Management, was quoted as saying by Bloomberg. His fund must shed these chipmaking stocks despite explosive year-to-date gains of 52% for TSMC, 159% for Samsung, and 184% for MediaTek.This mechanism creates an institutional dilemma where strong performance mandates divestment, artificially capping the upside for active portfolios trying to beat their benchmarks."As equities continue to outperform, funds will find it increasingly difficult to add exposure, reinforcing a cycle of forced selling and enlarging underweight positions even amid strong fundamentals," Herald Van der Linde, head of equity strategy for Asia Pacific at HSBC in Hong Kong, noted in a research report. HSBC data confirms that TSMC has become the largest portfolio underweight among Asian and global emerging-market funds.Emerging Market Exhaustion and Fund OutflowsData from Elara Securities India confirms that the Global Emerging Market (GEM) trade is experiencing its first major phase of sustained exhaustion since its rally began. GEM fund redemptions expanded to $3 billion, the largest outflow since December 2021, marking a clear breakdown in momentum.The capital flight has extended significantly beyond Korea and Taiwan to hit other major emerging markets. China saw foreign investors pull $3.7 billion, the largest single-week redemption in over a year, while South Korea logged six consecutive weeks of foreign outflows, compounded by a record $27.9 billion foreign portfolio rebalancing outflow.The systemic nature of the unwind is visible in the broader indices. Goldman Sachs data reveals that while the MSCI Asia Pacific ex-Japan index is up 27% year-to-date, it is actually down 4% when South Korea and Taiwan are excluded.This regional distortion has accelerated a massive, unprecedented migration from active stock-picking to passive indexing. Over the last five years, Asia's active funds have suffered $269 billion of cumulative outflows. Meanwhile, passive funds have accumulated $510 billion, with a quarter of that volume arriving in just the last six months."The size of recent inflows into the region’s passive funds... has no precedent across the last 10 years," said William Bratton, head of cash equity research for Asia-Pacific at BNP Paribas Securities.This phenomenon mirrors the “Magnificent Seven” dynamic on Wall Street, where tech giants account for about a third of the S&P 500. However, concentration in Asia has unfolded at a faster and more extreme pace, turning regional indices into concentrated bets on just one or two stocks and undermining the diversification benefits of benchmark investing.Broader Trade ImplicationsThe shockwaves from the AI tech unwinding are bleeding directly into structural commodities and the wider electrification ecosystem. Precious metal funds witnessed $2.8 billion of outflows, driven heavily by gold (-$2.1 billion) and silver (-$910 million, a 12-week high redemption), while energy funds recorded their second consecutive week of outflows. These asset classes had operated as indirect beneficiaries of the global AI infrastructure and electrification trade.Furthermore, Wall Street's nine-week winning streak concluded abruptly following a hot jobs report that ignited fears of a hawkish policy pivot by the US Federal Reserve, sending technology stocks into their largest one-day decline.Despite the steep selloffs, which saw South Korean equities slide 12% and Taiwan fall 6% from their record highs, market opinions remain starkly divided on whether this correction marks a peak or a buying opportunity.Some money managers are exploiting the correction to pivot to alternatives further down the supply chain, like mid-sized semiconductor equipment makers, or shifting money toward cheaper domestic themes like robotics. China's CSI Robot Index actually bucked the broader market declines, rising 1.4%.
Shares of TCS, India's largest IT services company, plunged 2% to an intraday low of Rs 2,144 on the BSE on Monday as a surge in U.S. bond yields reignited concerns that the Federal Reserve may be forced to raise interest rates later this year. With today's decline, the stock has lost 12% over the last four trading sessions.Higher U.S. bond yields and expectations of tighter monetary policy are generally seen as negative for Indian IT stocks. They tend to compress valuations of growth-oriented companies, raise concerns about slower technology spending by U.S. clients, encourage businesses to focus on cost optimization rather than expansionary IT investments, and can trigger foreign investor outflows from emerging markets.The weakness in TCS also follows a sharp relief rally in IT stocks last week. The sector has remained under pressure through much of 2026 amid growing concerns that rapid advances in artificial intelligence could disrupt the traditional software services business model.Should you buy TCS shares?“We recommend avoiding TCS for now as the major trend is bearish,” Sudeep Shah, Vice President and Head of Technical & Derivatives Research at SBI Securities told ETMarkets. According to Shah, momentum indicators have weakened considerably, with the RSI turning lower after nearing the 60 level, suggesting fading bullish strength. He also pointed out that the stock has slipped below the Bollinger Band midline, an important support level often tracked by technical analysts. With the latest decline, TCS has fallen below several key short- and long-term moving averages, indicating a weakening trend.Harshal Dasani, Business Head at INVasset PMS, said the stock's technical setup has shifted from weakness to a test of a potential breakdown. According to him, the 9% decline following a 6.53% rebound in the last week suggests the earlier recovery was merely a dead-cat bounce rather than evidence of fresh buying interest. "When a large-cap stock gives up a relief rally this quickly, the market is not reacting to a single negative headline. It is repricing the entire low-growth IT model," Dasani said.On the upside, he sees the Rs 2,400-2,450 range as a significant supply zone, since the recent recovery attempt stalled in that region. Dasani added that until TCS manages to reclaim this band with strong participation, any rallies are likely to face selling pressure.TCS share price performanceTCS shares have fallen over 32% since the start of the year and about 37% in the last 1 year.TCS reported a 12% year-on-year rise in consolidated net profit at Rs 13,718 crore for the fourth quarter, while revenue from operations increased 10% YoY to Rs 70,698 crore. The company also announced a final dividend of Rs 31 per share.During the quarter, TCS secured three large deals, taking the total contract value to $12 billion for the period. On a quarter-on-quarter basis, revenue grew 5.4%, while constant currency growth came in at 1.2%, broadly in line with expectations. Operating margin for the January to March quarter stood at 25.3%, up 10 basis points from the previous quarter. (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
With the benchmark index - BSE Sensex down by over 10,000 basis points to a level of 74,243 as of June 6, 2026, has left many investors wondering whether to continue SIPs and lump-sum investments during the current market decline, hold current positions or wait for greater clarity on market direction?Market experts believe that investors should see this 10,000 point correction as a buying opportunity rather than a reason to panic.Vishal Dhawan, Founder & CEO, Plan Ahead Wealth Advisors told ETMutualFunds that investors should view this 10,000-point Sensex correction as a long-term buying opportunity as market drawdowns are natural processes that shake out speculative premiums, resetting valuations to fundamentally healthier levels.Also Read | Multicap or flexicap mutual fund for a 20-year SIP? Expert explains what investors should choose “Long-term investors can continue their Systematic Investment Plans (SIPs) and hold current positions firmly. Pausing allocations to "wait for clarity" is a psychological trap that historically locks investors out of the sharpest days of a market rebound.”Dhawan further said that while regular SIPs are key to an investment journey, panic selling must be completely avoided; use this market decline to methodically build an equity baseline designed to reward your patience when economic sentiment inevitably swings back to optimism at some point in the future and it is critical to have a minimum 5-7 year investment horizon whilst investing.Echoing a similar opinion of considering this as a buying opportunity rather than a reason to panic, Amitabh Lara, Executive Director, Anand Rathi Wealth Limited shared with ETMutualFunds that for long-term investors, this is not the time to stop investing.Amitabh further said that continuing SIPs during a fall can actually work in your favour because the same investment amount buys more units at lower prices and one of the biggest mistakes investors make is stopping SIPs during a correction and returning only after the recovery has already happened.The benchmark index which touched a peak of 84,391 on December 10, 2025, is now down by nearly 10,148 points to a level of 74,243 as of June 6, 2026.As the market becomes volatile, investors as well as the fund managers keep cash in hand and wait for the opportunity to deploy it in the market but with a dilemma whether to deploy cash immediately or stagger investments over time.Amitabh said that if investors have idle cash available then they can go ahead and invest as a lumpsum and funds can be deployed in a staggered manner through tranches, over 6 to 8 weeks. “It also removes the stress of trying to time the exact bottom. If they have SIPs, they can continue it without worrying about the market level and take advantage of rupee cost averaging.”Dhawan said that for investors sitting on cash, a staggered deployment strategy via a 6-month to 12 month Systematic Transfer Plan (STP) is highly recommended as this approach could hedge your principal against intermediate downside volatility.He further said that investors should avoid deploying an absolute lumpsum at current levels, as picking the exact market bottom is a statistical myth and tranche-based buying ensures you average out your entry costs across multiple lower price bands smoothly.“Park your liquid capital in low-duration instruments and systematically route it into equity. This automated execution effectively replaces portfolio anxiety with disciplined benefits. In case you wish to deploy a lumpsum, and not do a STP, an investment in the Balanced Advantage category is suggested.” Dhawan said.How equity categories performedETMutualFunds checked the performance of equity mutual funds since December 10, 2025. Small cap funds have delivered an average return of 6.06% since the date BSE Sensex touched the new peak, followed by mid cap funds which gave an average return of 2.58%.Also Read | Nippon India Mutual Fund limits subscription in Gold BeES and gold savings fund In contrast, the counterparts, large cap funds gave a negative average return of 6.26% since December 10, 2025. Multi cap funds gave an average return of 0.06% whereas flexi cap funds fell 2.95% on an average in the said time period.Out of 10 equity categories, only three gave positive average returns which were small caps, mid caps and multi caps whereas the other categories such as large caps, contra funds, ELSS, flexi, focused, value and large & mid caps gave negative average returns.Which market-cap segment could lead the recovery?Dhawan said that large-cap stocks are typically best positioned to lead the initial recovery wave when domestic and foreign institutional flows return and their robust cash flows, operational scale, and institutional backing provide an essential fundamental moat.He further said that mid-caps may require stock-specific elements to perform, as many names went up significantly during the previous bull cycle; small caps should be approached with high caution and patience, as they remain prone to sharp liquidity outflows during market corrections. “Limit small-cap exposure if you can handle the volatility and have a longer time horizon of 7-10 years for mid and small caps.”Lara said that small caps appear to have the most room for upside when markets recover. Currently, Nifty Smallcap 250 is trading about 17.4% below its fair value, compared with 9.6% for the Nifty Midcap 150 and around 5-9% for large-cap indices. Hence, small caps have corrected more than large caps and mid caps relative to their earnings potential.He further said that investors can have a balanced exposure across market caps, with 55% in large caps and the rest in mid and small caps to be a part of the eventual recovery that will follow in the markets.BSE Sensex: In the last six months, the index was down 13.38% and in the nine months, it was down 8.01%. In the last one year, Sensex was down 8.83% whereas in the last three years and five years it was up 5.74% and 7.33% respectively.Sector allocation becomes particularly important during market corrections as valuation gaps emerge across industries. The question is whether investors should actively target beaten-down sectors or focus on broader diversification.In response to this, Lara said investors should avoid investing in single sectors or making sectoral bets as performance in sectors/themes is highly cyclical. For example, in 2024, the pharma & IT sectors were part of the best-performing sectors, however, they both turned into worst-performing sectors in 2025, which suggest that entry and exit at the right time play a crucial role in making investments in the sectorial/thematic funds.Also Read |HDFC Mutual Fund limits subscription in its gold ETF and FoF. What this means for investors? During such corrections, it would be more beneficial for investors to invest in diversified categories of equity mutual funds to get exposure to all sectors and benefit from their performance, rather than focusing solely on any single sector, Lara further said.Dhawan said to prioritize accumulating high-quality banking and financial services funds as these segments offer good earnings visibility, corrected price multiples, and fundamentally strong underlying balance sheets.He further said systematic accumulation of Information Technology (IT) funds could be attributed to these deep valuation resets as they are cash-rich franchises with low debt. However, they do face business model risk. Conversely, stay away from Utilities and capital goods as valuations look well above their long term averages.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)If you have any mutual fund queries, message on ET Mutual Funds on Facebook/Twitter. We will get it answered by our panel of experts. Do share your questions on ETMFqueries@timesinternet.in along with your age, risk profile, and Twitter handle.
[Economy] : South Korea's potential growth rate is projected to fall below one-point-five percent for the first time next year, despite a strong rebound in economic growth driven by the semiconductor sector, according to the Organization for Economic Cooperation and Development (OECD). OECD data released Sunday ... [more...]
Trump visited rural Wisconsin on Friday, telling farmers an economic rebound is coming. Olivia Rinaldi reports.
Victor Wembanyama sparked controversy in Game 2 of the NBA Finals after appearing to grab Jose Alvarado around the neck during a physical rebound battle.
The Spurs try to rebound in Game 2 in San Antonio after a loss to the New York Knicks. ESPN’s Marc Spears previews adjustments as both teams look to get momentum early in the series.
60 Minutes viewership rebounded after Bari Weiss began her tenure at CBS, despite Scott Pelley’s claim that the Free Press co-founder is “killing” the program, television viewership data show. CBS News fired Pelley on Tuesday after the former 60 Minutes correspondent questioned the qualifications of newly hired executive producer Nick Bilton and the intentions of […]
How ba&sh lost its fashion soul and found it again: founders, fabric, private equity, B Corp discipline and a €300 million rebound in French fashion.
Caitlin Clark worried fans after becoming sick and vomiting during Indiana Fever’s victory over Atlanta. Despite the illness, she stayed in the game and delivered a strong performance with points, assists, and rebounds. Afterward, Clark said she had not been that sick in a long time but felt better during the second half as Indiana bounced back from a difficult loss.
Calvin Oftana produces a 30-point double-double and sinks two crucial free throws down the stretch as TNT rebounds from a narrow Game 1 loss against Ginebra in the PBA finals
A rebound in the digital currency, or characteristic dip-buying by investors, is yet to take place.
Chinas services activity expanded at a faster pace in May, according to the latest RatingDog China General Services Purchasing ManagersIndex, which points to robust growth in new business and a rebound in overseas demand.
Indonesia’s State Budget (APBN) recorded a deficit of Rp180.4 trillion (US$10.02 billion), or 0.70 percent of GDP ...