Liz Young Thomas

The equity bull run since the ChatGPT trigger still has room to run. We haven't reached ridiculous excess, and the fundamental story is intact. The recent pullback in AI was a rotation, not a risk-off shift, and the geopolitics easing removes growth risks, setting up further upside.

Investors should trim positions in high-flying tech/AI names and redeploy capital into the healthcare sector, which is poised to benefit from AI adoption but has not yet run up as much.

Investors are looking to equities to offset economic growth scares, and that leads them to technology stocks, particularly semiconductor stocks, which benefit from strong AI-driven spending, revenue gains, and rising earnings guidance. Even if consumer spending slows later in the year, risk appetite remains strong, supporting these stocks.

Because traditional portfolios are no longer working in a warmer-inflation regime and geopolitical risk is affecting energy, investors should add commodities as a hedge against geopolitical and inflation risk.

She highlights a supply issue in energy and specifically argues that Fed rate hikes cannot create more oil through the Strait of Hormuz, implying oil and energy supply constraints remain a supportive geopolitical factor for prices.

The equal-weight S&P 500 is preferred over the market-cap-weighted index to gain broader economic representation in sectors like healthcare and industrials, while the energy sector remains a strong multi-year trade due to structural changes in global energy consumption.

Broadening profit growth and a strong economy will lift Delta Air Lines to new highs. The stock is also poised for a multiple re-rating as earnings expand beyond tech, making it a beneficiary of the broadening theme.

Real estate valuations have bottomed and rates are set to help.

The Magnificent Seven lagged in the first half but will come back in the second half as investors flood back into those big names during any volatility.

Semiconductors will continue to see volatility and more downside in the near term because of the big run they have already had.

Liz Thomas explicitly said QQQ has experienced multiple compression since October highs, but earnings continue to go up, and she thinks the dislocation closes by prices going up, with multiples already rising slightly recently. Earnings growth should drive price appreciation as the disconnect between compressed multiples and rising earnings corrects through multiple expansion. LONG based on fundamental earnings growth and anticipated re-rating. If earnings growth stalls or multiples compress further due to market conditions.

Buy BTC as price recaptures the 50-day MA following a significant sentiment washout; speaker views the recovery as a genuine trend reversal rather than a bear-market bounce to fade.

Buy ETH on 50-day MA recapture post-sentiment washout; speaker explicitly acknowledges overbought readings but argues the post-washout context makes the setup a legitimate upswing, reducing the overbought concern.

"Software found its bottom or at least is in the bottoming process and investors are looking for ways to position in some of those that maybe were called falling knives before but now it is fallen." Software stocks have already been severely beaten down and are showing relative strength by bouncing on rough market days. Because software companies have high margins and are less directly exposed to physical supply chain and energy shocks, they offer a fundamentally sound area for investors looking to deploy risk capital. LONG software equities as they have completed their bottoming process and offer a high-margin refuge from physical commodity shocks. A broad market capitulation event or a renewed spike in long-term interest rates could cause further multiple compression in high-valuation software names.

"Software found its bottom or at least is in the bottoming process and investors are looking for ways to position in some of those that maybe were called falling knives before but now it is fallen." Software stocks have already been severely beaten down and are showing relative strength by bouncing on rough market days. Because software companies have high margins and are less directly exposed to physical supply chain and energy shocks, they offer a fundamentally sound area for investors looking to deploy risk capital. LONG software equities as they have completed their bottoming process and offer a high-margin refuge from physical commodity shocks. A broad market capitulation event or a renewed spike in long-term interest rates could cause further multiple compression in high-valuation software names.