Best of Bloomberg Intelligence (03/31/2023)

The video discusses the resilience and valuation concerns of the tech sector, highlighting its high valuation relative to historical norms and the S&P 500. It also examines the small caps as market indicators, focusing on their challenges, particularly in regional banks. Lastly, the energy sector's performance is evaluated, noting its recent drop amid inflation concerns and its impact on cyclical trades.

What is a major concern for the tech sector according to the discussion?

• Over-reliance on government subsidies

• Increased competition from new entrants

• Lack of innovation in the sector

• High valuation relative to historical norms

What is the significance of the MACD crossover for the Russell 2000?

• It suggests a decrease in trading volume

• It confirms a long-term bullish trend

• It shows a decline in market volatility

• It indicates a potential trend reversal

Why are small caps considered a 'canary in the coal mine' for equities?

• They are more stable during economic downturns

• They have a significant weight in regional banks

• They are less affected by global economic trends

• They have a higher growth potential than large caps

What has caused the energy sector to drop in recent months?

• Increased regulatory pressures

• Peaking inflation and falling oil prices

• Decline in global energy demand

• Technological disruptions in the sector

How does peaking inflation affect the energy sector?

• It results in higher operational costs

• It boosts consumer demand for energy products

• It leads to increased government intervention

• It supports cyclical trades but pressures oil prices