TMTB Weekly
Happy Sunday. Quite a long week as Iran war developments and Oil biggest weekly spike ever, coupled with a weaker unemployment report to end the week dominated the macro landscape. However, Tech didn’t disappoint with its own high level cross-currents during what always seems to be an amped-up MS TMT Conference week:
1) Software outperformed semis by a whopping 15% (6-sigma event), by far the biggest weekly spread in the last 15 years. The previous largest spread was 8%, so this nearly doubled that and bigger than any previous semi outperformance. Last week, we pointed out the topping signs in leading semi charts as well as bottoming software charts, noting the propensity for this spread to dislocate during MS TMT week, but this was a lot more violent than anyone expected:
