UK retail investors seized the opportunity to buy the dip in tech stocks following a sharp sell-off triggered by AI development concerns post-US midterms. Brokers reported a surge in buying activity, with Interactive Investor noting a significant uptick in purchases of major names like Nvidia and SpaceX. Hargreaves Lansdown confirmed net buying of top US tech names over the past week, noting trade volumes doubled on Thursday alone.
While Nvidia saw volumes four times higher and SpaceX buy interest more than double, selling also increased but to a lesser degree. Canaccord and Rathbones wealth managers viewed the correction as a strategic entry point, expecting volatility to remain elevated but believing demand for AI remains strong. Despite lingering questions on AI investment levels, corporate earnings and economic activity suggest the sell-off is a correction rather than a bear market start.
Source: Financial Times Markets · Summarized by HeadlinesBriefing