WS #16931
The Magnificent 7 led equities higher with a 2.24% gain, driven by Microsoft hitting record highs and strong interest in Arm Holdings for its AGI opportunities. OpenAI's coding and enterprise push is gaining ground against Anthropic, intensifying the competition for AI infrastructure contracts. However, the rally's sustainability is questioned as only 59% of tech names beat estimates, well below the 70% historical norm, and CTAs hold extreme net-long positioning.
Tech Rally & AI Infrastructure Competition
The Magnificent 7 led equities higher with a 2.24% gain, driven by Microsoft hitting record highs and strong interest in Arm Holdings for its AGI opportunities. OpenAI's coding and enterprise push is gaining ground against Anthropic, intensifying the competition for AI infrastructure contracts. However, the rally's sustainability is questioned as only 59% of tech names beat estimates, well below the 70% historical norm, and CTAs hold extreme net-long positioning.