Strategist: Concerns about the tech bubble in US stocks are overstated

Michael Brown, a senior research strategist at Pepperstone Group, believes that concerns about a technology bubble are overstated. He stated that the current valuations of the seven tech giants that have driven most of the gains in the S&P 500 index in recent years are roughly in line with the average over the past five years. "If someone tells me that these stocks have been overvalued for five years, it must be pointed out that these seven stocks have had a total return of over 300% during this period, and there is still room for further increases in the coming months," Brown said. "In fact, against the backdrop of strong earnings growth, resilient economic fundamentals, and an increasingly accommodative monetary policy environment, the overall market will continue its upward trend — this remains the path of least resistance."