The View from 5th Avenue

The View at Two – 17 August 2020

Et tu Warren? – After a middling week for the techies, they’re back doing what they do best, namely residing in the green. The watch for Apple two trillion persists ($467.70) and the Nasdaq 100 leads the way as it nears a new all-time high (see graph below) and the S&P sits just off a new ATH for the first time since February. We seem to have witnessed our most recent value/cyclical head fake again, banks and travel/leisure names lagging significantly. The money institutions can “thank” Mr. Buffett for their selloff today, news of cutting back his position in a host of names behind the move. Meanwhile, the Oracle seems to have decided, if you can’t beat ‘em, join ‘em. He gave the gold bugs a boost after capitulating and announcing a stake in Barrick Gold. Semis piggybacking Nvidia’s move (+6.9%) after some analysts up their PT ahead of Wed earnings and General Motors (+7.8%) after a broker suggested they could spin off their EV unit.

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