A big-picture view of the stock market resembles my efforts to jog around a track...
There are periods of sustained forward progress followed by stretches of standing still (or reeling backwards) while gasping and regrouping. While this “two steps forward, one step back” pattern is a good reminder of the critical importance of patience when the market is sucking wind, there’s another takeaway..
. It’s far more fun, and profitable, to catch the market, or a sector, when it’s in an established uptrend. Today, our macro expert Eric Fry believes we’ve just begun a new uptrend for a subset of the broader AI sector – what he calls the “AI appliers.
” From Eric: [These are the companies] employing AI technology within their own products and services. AI appliers are everywhere..
. and growing by the day. That universe includes companies as diverse as beauty-products purveyor Coty Inc.
( COTY ) , gold and copper explorer, Ivanhoe Electric Inc. ( IE ) , industrial-solutions provider Rockwell Automation Inc. ( ROK ) , and sports technology company Genius Sports Ltd ( GENI ) .
Clearly, many of these companies operate in niches that are normally not associated with technology. So, they are still lying low..
. under the radar – but they and many others are ready to explode with the next phase of the AI boom. Now, among the broad number of AI appliers, there’s one sector that stands above the rest.
Eric believes it’s beginning an acceleration phase for its operational p.