TSM - Investment Bank Piper Sandler Removes Nvidia From Model Portfolio Anticipating S&P 500 Correction: 'Cool The Engines' | Benzinga
Investment bank Piper Sandler is forecasting a correction in the S&P 500 and has consequently removed Nvidia Corp. (NASDAQ:NVDA) from its model portfolio,
What Happened: Despite a robust first quarter for stocks, Piper Sandler’s Chief Market Technician, Craig Johnson, foresees a 5% to 10% correction in the S&P 500 in the near term, CNBC reported on Thursday. Johnson points to inflated valuations and decelerating momentum as the primary causes for the predicted downturn.
“As investors show complacency within the current uptrend and exhibit a Fear-Of-Missing-Out (FOMO), we believe now is the time to be more vigilant and ‘Cool The Engines,'” Johnson stated on Wednesday.
Notably, Johnson has removed Nvidia, a significant contributor in the AI sector and a key driver of S&P 500 gains, from his model portfolio. He has instead included Micron ...