Bill Gross's Advice on Tech Stocks and Bonds
Billionaire investor Bill Gross, also known as the "bond king," has advised investors to be cautious about the tech sector and stick to value stocks instead. He made this statement on X, formerly Twitter, earlier this week. Gross believes that Microsoft is the only viable option if investors must venture into tech.
Gross also expressed doubts about holding bonds, especially with the 10-year yield surpassing 4.7%. He suggests that T-bills offer a better yield at 5.25%.
This advice comes at a time when the tech industry is experiencing significant shifts. Despite strong earnings reports from Alphabet and Microsoft, the sector has been struggling. Tesla's stock rose on the announcement of a new, more affordable vehicle model, while Meta Platforms disappointed investors with weak guidance, leading to a sharp stock decline.
It's important to note that this content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.