Group 1 - Investors are abandoning caution and aggressively entering the most speculative and volatile areas of the U.S. stock market, with the S&P 500 index approaching historical highs [1] - The strong risk appetite in the U.S. stock market is evident, with Meta leading the tech giants and Nvidia reaching a new closing high, pushing the S&P and Nasdaq indices close to historical peaks [1] - The Invesco S&P 500 High Beta ETF is experiencing its best quarter since 2020 compared to the Invesco S&P 500 Low Volatility ETF, indicating a significant shift towards high volatility stocks [1] Group 2 - Despite signs of economic slowdown and weak consumer confidence, investors seem to overlook these risks, driven by a fear of missing out (FOMO) mentality [2] - Retail investors, particularly those favoring momentum stocks, have been a key force in the recent rally of risk assets, continuing to buy even when the market was near bear territory [2] - Large tech companies have been the main drivers of the market over the past two years, with strong earnings expectations supporting their performance [5] Group 3 - The extreme focus on large tech stocks has led to a decline in market breadth, with small-cap stocks underperforming [6][9] - The Russell 2000 small-cap index and the S&P 600 index, which includes only profitable small companies, have lagged behind the S&P 500 index this year due to the lower weight of tech stocks in these indices [9] - In the S&P 500 index, the combined weight of the information technology and communication services sectors is nearly 43%, while in the Russell 2000 index, it is only 13% [9]
All In!投资者狂买美股科技股和热门妖股