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Feb 16, 2026
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LONG
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The strategist notes a "disconnect" in the software space where companies "continue to deliver more than what the market expect" regarding earnings, yet "price development... have been decline." He explicitly mentions Google (GOOG) remains "alive and kicking" despite AI fears. The market has irrationally punished software stocks due to AI disruption fears (similar to the Google/ChatGPT scare), ignoring the actual earnings resilience. This valuation gap creates a classic mean-reversion entry point. LONG. "Buy the dip" in software and resilient tech giants. AI disruption actually rendering legacy software obsolete faster than anticipated. |
Bloomberg Markets
Bonds Rise on Rate-Cut Bets; Gold Dips Below ...
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Feb 16, 2026
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LONG
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European banks are trading at "very low by historical standards" valuations (approx 1x price-to-book, 10-11x earnings) and are benefiting from a "steep yield curve." A steep yield curve naturally expands Net Interest Margin (NIM) for banks. Combined with a non-recessionary environment in Europe and dirt-cheap valuations, the risk/reward is heavily skewed to the upside compared to US peers. LONG. Focus on European financials. Regulatory intervention or a sudden flattening of the yield curve. |
Bloomberg Markets
Bonds Rise on Rate-Cut Bets; Gold Dips Below ...
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Feb 16, 2026
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LONG
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Despite regulatory headwinds (credit card fee caps), Wall Street expects "possible deregulation" and "lower interest rate will fuel obviously demand for mortgages." The market is pricing in the regulatory risks but underpricing the twin tailwinds of deregulation (under the Trump administration) and a housing market revival driven by rate cuts. LONG. Deregulation fails to materialize; consumer credit defaults rise. |
Bloomberg Markets
Bonds Rise on Rate-Cut Bets; Gold Dips Below ...
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