Tech bubble? Analyst says 'sell-off' won't last because there's no bubble to burst

Markets were affected by some economic data at the beginning of the month, with global stock markets recording a level of sale On a large scale. Meanwhile, recoveries have already been recorded, and one analyst says there is no need to fear a tech bubble… because there is none.

Now, with just a few days to figure out what caused the selloff, Manish Singh, chief investment officer at Crossbridge Capital, tells CNBC there's no reason to fear a default. bearish (Under). The asset manager even suggests that there is no need to fear that the tech bubble will burst and cause a slowdown.

However, technology stocks were the most affected by the crisis. sale, This has already caused losses of more than 4% in the Nasdaq 100 index since the beginning of the month, which is dominated by technology companies. And it is this same factor that has raised the question: Has the technology bubble burst?

“I don’t see a tech bubble. Yes, some stocks have done well and made good returns,” noted the chief investment officer at Crossbridge Capital. However, looking at the Nasdaq, Singh says the index has been flat over the past three years.

Even the S&P 500 wasn't out of line with sale, Maintaining stable levels, earning 4% per year. Manish Singh is counting this year, especially after the “Magnificent Seven” lost $1 billion due to the stock market instability.

“I think we will have more volatility in August, because that is the seasonal pattern… We had something very similar last year. If we compare the two charts, we will see that we are following the same pattern,” the analyst noted to the publication.

He added that the same pattern occurs during election years, which is what is happening this year. “There is seasonality in August and September, so after the election, the market starts to recover.”