Goldman Sachs strategist: The semiconductor sector is volatile, bullish on large-cap tech stocks.

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Jinse Finance reports that Goldman Sachs strategist Christian Mueller-Glissmann says as chipmaker stock prices continue to fluctuate, large-cap tech stocks may become more attractive amid the AI trading boom. Although the market rally is primarily led by chipmakers and beneficiaries of AI capital expenditures rather than hyperscale cloud service providers, Mueller-Glissmann notes that these leading stocks belong to a highly volatile segment of the AI space and have accumulated significant positions and leverage through instruments like ETFs and options. "If you believe the AI momentum will continue to improve, you would want to diversify your investments into hyperscale cloud service providers and potentially reduce your allocation to semiconductors. Because in the AI capex landscape, semiconductors are the truly high-volatility part," said Mueller-Glissmann, who serves as Goldman's head of asset allocation research, in an interview. (Bloomberg)
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