Citigroup strategists said that as the cyclical environment improves, there are initial signs that the upward trend in the stock market is spreading outward from a small number of individual AI stocks. According to the team led by Beta Mantai, the technology sector still has outstanding performance in terms of profit growth, profit momentum, and valuation dimensions. “Therefore, we believe that the spread of the market is an increase in market participation rather than a rotating withdrawal of capital from the technology/AI sector.” The bank expects mainland Europe and Japan to be potential beneficiaries.

Citigroup strategists said that as the cyclical environment improves, there are initial signs that the upward trend in the stock market is spreading outward from a small number of individual AI stocks. According to the team led by Beta Mantai, the technology sector still has outstanding performance in terms of profit growth, profit momentum, and valuation dimensions. “Therefore, we believe that the spread of the market is an increase in market participation rather than a rotating withdrawal of capital from the technology/AI sector.” The bank expects mainland Europe and Japan to be potential beneficiaries.