Stocks have taken a beating recently as investors dump one-time darlings of the AI trade, but they will rebound, according to Fundstrat Global Advisors cofounder Tom Lee, who has a strong recent track record of market forecasts.
Chip stocks in particular have been leading the decline, which left the S&P 500 down 1.6% for the week and the Nasdaq off 2.9%. The latest catalyst was the release of a Chinese AI model that cast doubt on hyperscalers’ gargantuan spending plans.
