U.S. stocks rose on Thursday, even as underwhelming guidance from Nvidia Corp NVDA stoked fears of more pullbacks, but Apple Inc. AAPL and Tesla Inc. TSLA analyst Gene Munster thinks it isn't yet time to call the bottom.
What Happened: Munster, also a managing partner at Loup Funds, on Thursday alerted investors on Twitter to gear up for a "bear market tech rally," saying the Nvidia stock jump was a "classic sign" of near-term bad news being priced in.
The market, according to Munster, will find the bottom somewhere between the June and September quarters.
The analyst, however, is optimistic about the year ahead.
"Either way you slice it, 2023 should be a good year for #tech stocks," he tweeted.
Why It's Important: Tech stocks have been the driving force behind the bull market seen in the past several years. By the same token, these stocks have also led the year-to-date sell-off.
The Invesco QQQ Trust QQQ has lost about 25% for the year-to-date period compared to the more modest 14.4% drop by the SPDR S&P 500 ETF Trust SPY.
A reversal in sentiment toward tech stocks could be a leading indicator for a broader market recovery.
The Invesco QQQ Trust ended Thursday's session 2.77% higher at $299.33, according to Benzinga Pro data.
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