This morning we had a monster reversal of something that's plagued this market for a while. The awkwardly named halo trade. Halo means heavy asset low obsolescence companies.In the man of search for something, anything that might be immune to AI, money managers seized on industrial companies that face no competition from AI. If anything, this technology will only make them more efficient. So we gravitated to the honey wells, the new corores, RTXs, any company that help us build out data centers.The halos, c ...

Group 1 - The "halo trade," which refers to heavy asset low obsolescence companies, has been a focus for money managers seeking investments immune to AI competition [1][2] - Industrial companies like Honeywell, New Core, and RTX have been favored as they are expected to benefit from AI by becoming more efficient [1] - Recent strong earnings from Broadcom and rebounds in enterprise software stocks like Service Now, Workday, Adobe, Salesforce, and Viva Systems suggest a shift away from the halo trade [3] Group 2 - There is a prevailing belief that enterprise software companies may struggle due to competition from advanced AI technologies like Anthropic and OpenAI [4]