(Bloomberg) Investor Michael O’Rourke is advising investors to ditch growth tech stocks for banks since the expected interest rate increase will benefit the latter.
O’Rourke says although tech stocks had an incredible run, weaknesses are emerging.
The veteran investor says a move for value stocks is needed as rates tick higher since elevated yields will make it unattractive to hold growth stocks.
O’Rourke says energy stocks are also attractive due to scarcity value, with some investors rushing to buy commodities since they are concerned about shortages. He says materials are also attractive.
SPY is up +0.44%, NASDAQ 100 is up +0.46%.
