Why tech stocks give ‘an insulating force field’ to this market

MarketWatch’s latest article quoting DataTrek co-founder Nick Colas on why technology stocks give ‘an insulating force field’ to this market:

…. “DataTrek Research’s Nicholas Colas says things are in fact frothy in that sector, but not in the way you might think.

Large-cap tech is in a bubble, but not necessarily in terms of valuation,” says Colas, providing our call of the day.

“Rather, it is an insulating force field driven by its power to create innovative disruption and growth. Those fundamentals are now at such critical mass that even governments cannot derail them for long.”

Tech strength is among four factors helping the stock market shrug off trade-war worries, reckons the DataTrek co-founder.

Another factor is that President Trump is sparking the trade tensions, and investors ultimately believe he won’t tank stocks before the midterm elections, Colas says.”….

Read the rest here in MarketWatch!