Nasdaq 100: Tech Stocks Resilient Amid Market Volatility

The Nasdaq 100 index, the global benchmark for tech companies, has recently reached a record high. Despite high uncertainty in the Middle East and recent interest rate hikes by the US Federal Reserve, tech stocks have shown resilience. The growth in the AI sector, particularly led by Nvidia, is driving the market upwards. The 'Magnificent Seven' companies, including Meta, Amazon, Apple, and Microsoft, account for nearly 50% of the Nasdaq 100's market capitalization. These companies, with a combined market value exceeding $1.5 trillion, are significantly larger than the entire Swiss Market Index (SMI). The strong performance of these companies, along with their substantial net liquidity of approximately $500 billion, has made them less susceptible to interest rate hikes. The Nasdaq 100 index has broken through key resistance levels, surpassing its all-time high from June 2023 and the upward trend from 2018. Based on the long-term upward trend since 2018, the index has potential to reach levels around 32,000 points. Risk-tolerant investors can leverage this potential 10% increase with calls on Nasdaq 100 mini futures. A conservative call with a 3x leverage (ISIN: CH1447761862) could gain around 30%, while a 5x leverage call (ISIN: CH1552052511) could see a 50% increase. A 7x leverage call (ISIN: CH1554964853) could potentially gain 70%. It's important to note that the products mentioned in this article are for informational purposes only and do not constitute investment advice.