Trading the Tech Wreck 6/26/26

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**Scott Wapner** (1:00)
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Carl, thank you very much. Welcome to the Halftime Report. I'm Scott Wapner, front and center this hour. The tech rollover, Nasdaq heading for a rough week as you know. We are trading that and everything else in these markets with the committee. Joining me for the hour this Friday, Steve Wise, Jenny Harrington, Kevin Simpson, Brent Talkington. Show you the markets here. We've taken a turn, certainly for the better. We're green across the board. Tech, though, remains a bit dicey. So at one point, you know, I don't know, within the last hour, Nasdaq was on track for its worst week since April of 25
Come a little bit above that now, as you see, the market has tried to turn. You do, though, have every mega cap tech, Weiss, at least in a correction. Some are in a downright bear market. If you look at Microsoft, it's more than 30% off of its most recent high. Meta is 30% off of its most recent high. And these others are, you know, mid to high teens off of their own best levels in the last 52 weeks.

**Steve Wise** (2:17)
Yeah, and so I think about Meta and Microsoft every day as I own it and sometimes, most of the time saying that, why am I there? Not because the stock price has gone down alone. Obviously, it's a factor. It's that, are these now just regular old companies that have huge capbacks currently and in front of them?
And what is the returns going to be? That's what the market's asking.

**Scott Wapner** (2:44)
Sure, and I don't think you can answer the question yet, which is therein lies the problem. Not that these are bad stocks, not that there's anything wrong with the story, but at least in the near term, the juice has been squeezed.

**Steve Wise** (2:59)
Been completely squeezed, and I mean, meta, you talked about performance. Stock was over $800 a share, and look where it is now, and it shows no relief. Now today, we see it's up 2.44%.
Who knows if that'll stay, and could it be down 3% tomorrow? So where else can I put my money? But it just shows, if you go through the list of stocks here, and the AI trade dominates everything. Everything. Everything. Goldman Sachs, because we have OpenAI delaying their IPO. That stock's taking a hit. So it's all related to the market. So look, I've been raising cash. I'm happy to have the cash most days, and I want to let some of the volatility step aside, because I don't find opportunity in the volatility just yet.

**Scott Wapner** (3:51)
Bryn, the source of funds is, it's persistent according to Wolf, at least related to the MAG-7. Michael Hartnett, he does the flow show at Bank of America. We cite it often. You've had a $9.3 billion record outflow from tech. That follows a lot of money coming in. Now you got a lot of money coming out. He's looking at the MAG's ETF. You can show that on your screen. And he's looking at the $60 level.
We're at $62. We were at $61. You go below $60, he says, and then it's risk-off for the summer, at least, for the MAG-7.
What's your take as we watch sort of all of this, you know, percolate through the market?

**Brent Talkington** (4:39)
I think maybe they should rename it LAGS, not MAGS, right? Because these stocks, Meta's down 15% for the year, Microsoft's down 25%.
What's interesting, though, is the Qs are up 15% for the year because the Microns, the AMDs and the Intels have become a bigger and bigger weighting. So you've done very, very well if you just bought the index of the Qs. And so that's why I think a lot of active growth managers are getting their faces ripped off this year because I doubt they had those big exposures to the memory names and the semi names.