The Nasdaq has surged about 27% since March, mainly due to semiconductor stocks boosted by AI earnings momentum. However, a potential market correction could arise as hyperscaler companies report deeply negative free cash flow, signaling financial strain. The author hedges downside risk with SOXX options, believing the AI trend remains strong but current valuations are stretched. Additionally, geopolitical risks like disruptions in the Strait of Hormuz could spark energy shocks and inflation, adding further uncertainty to the market outlook.
The Roundhill Memory ETF (DRAM) and iShares Semiconductor ETF (SOXX) differ mainly in investment focus and risk. SOXX provides diversified semiconductor exposure across the chip industry with a low expense ratio, making it suitable for long-term inve...
Michael Burry, famous for predicting market crashes, has declared in May 2026 that the stock market has peaked, citing the rapid rise in semiconductor and tech stocks like NVIDIA as reminiscent of the 2000 dot-com bubble. Despite strong fundamentals ...
