From Seekingalpha · Amrita Roy · · 50s
What Would Stop The AI Sell-Off
VanEck Semiconductor ETF drops 10% as capital shifts from AI to reflationary sectors.
In brief
VanEck Semiconductor ETF drops 10% as capital shifts from AI to reflationary sectors. The VanEck Semiconductor ETF (SMH) fell 10% as investors moved from AI/tech to reflationary sectors amid liquidity issues and macro headwinds. Originally reported by Seekingalpha.
VanEck Semiconductor ETF
The VanEck Semiconductor ETF suffered a sharp 10% decline as capital rotated from AI/tech into reflationary sectors amid deteriorating liquidity and macro headwinds.
Investment Strategy
Amrita Roy reduces cash from 18% to 13% and adds to high-conviction AI names while booking profits in software holdings.
AI Trade Recovery Conditions
AI trade recovery depends on lower oil and dollar, hyperscaler capex confirmation, neocloud stabilization, and a successful Anthropic IPO.
Portfolio Game Plan
Deploy remaining cash at SMH support levels or raise cash on rebounds, viewing current volatility as a buying opportunity.
At a glance
The VanEck Semiconductor ETF (SMH) fell 10% as investors moved from AI/tech to reflationary sectors amid liquidity issues and macro headwinds.
