Market Update - September 9, 2020

Sep 09, 2020 | Tom McGill


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Yesterday, the Nasdaq continued its decent as shares of Microsoft, Apple, Amazon and Facebook all finished down more than 4%. Tesla shares plunged 21%, and are down by a third in just one week. Despite the continued drop is the tech space, and markets in general, Alex Zukin, Software Analyst for RBC Capital Markets, believes the long-term trends accelerated by the pandemic will continue to reshape the economy. Zukin’s rationale stems from his belief that “there’s a natural and generational rethink of the construct of work—from a location-dependent to a location-agnostic paradigm,” he says. As the economy reopens, he believes businesses will spend more on technology to capture and accelerate growth. John Stackhouse reinforced Zukin’s views as he reported that “many tech firms are also well positioned to profit from the next round of U.S. fiscal stimulus, once it gets through Congress, putting money in the hands of American consumers and businesses. The biggest challenge will remain for investors, to adjust to the jolts and jerks of a jittery market that’s shaped as much by human distraction as it is by tech disruption.”

 

For more from Alex Zukin, the most recent podcast from John Stackhouse can be accessed on today’s 10-Minute Take.

 

Please let us know if you have any questions or if there is anything my team and I can do to help.

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