Tech Stocks Surge Amid Rate Cut Hopes, But Dot-Com Bubble Parallels Raise Concerns
• Technology stocks rush resembles 1999 dot-com bubble, assumes strong economy despite tighter policy • Nasdaq rising in Q4, but script flipped with both rising over past 4 weeks, typically after recession • Investors not concerned if Fed cuts rates March or May, still bullish on assets until inflation picks up • Magnificent Seven tech stocks led Nasdaq rally in 2022 on rate cut hopes and AI optimism • BofA sentiment gauge surged to 2.5-year high but still far from contrarian sell signal