The stock market continues to show signs of broadening out with small and mid-sized companies participating in this recent advance that has been dominated by large-cap technology companies, especially semiconductors. We added a 5 to 10% position of semiconductors and biotechnology in our allocation models. These allocation changes have served clients well.
We remain optimistic but especially in A.I. driven sectors like semiconductors and software. We are still in the early stages of the A.I. buildout which will touch all facets of the economy. We believe interest rates have peaked, consumer spending remains resilient and corporate earnings will stay strong throughout 2024. The stock market is due for a pause, perhaps it trades sideways or corrects 5 to 15%, either way the trend remains our friend.
Best,
Matt
Lawson Winchester Wealth Management Team
The views expressed are not necessarily the opinion of Cadaret Grant, and should not be construed directly or indirectly, as an offer to buy or sell any securities mentioned herein. Investing is subject to risks including loss of principal invested. Past performance is not a guarantee of future results. No strategy can assure a profit nor protect against loss. Please note that individual situations can vary. Therefore, the information should be relied upon only when coordinated with individual professional advice.