00:00But today we do have a risk on attitude. We are seeing the Nasdaq up more than 1%, let's call it 1.5% at the moment.
00:06Deals unfolded, but also the China-U.S. calming in terms of the ratcheting up of tariffs.
00:14What do you think about buying into these names right now?
00:17Yes, we're definitely getting a sense that the mood music has changed quite considerably as we started this week and as we continue into Tuesday.
00:25So obviously we had that strong rally in the Nasdaq 100 yesterday up around 4.3%, seeing those gains extended today up around 1.4%.
00:35So the mood is definitely upbeat as far as these stocks are concerned.
00:39And it does feel that the sentiment is changing and that the outlook is more positive.
00:47We're past that worst case scenario. We seem to be looking at a more positive, upbeat outlook.
00:54I would like to say that I don't think we're quite out of the woods yet.
00:58I think there are still potential for some tariff issues which haven't been resolved, particularly around sort of electronics and semiconductors that we had heard the White House say that they were sort of putting back.
01:14So we still need to get a little bit more clarification about that.
01:18But as far as the de-escalation of the trade war with China is concerned, as far as this push for deals in Saudi Arabia is concerned and with the UAE, that's really important.
01:29Fiona, the president's standing next to MBS, but also Saudi Arabia's investment minister Khaled al-Fali and also the head of the Public Investment Fund.
01:37If these tech deals are substantive between the United States and Saudi Arabia, how do you do that as an investor?
01:44Do you invest in a U.S. proxy that's set to benefit or is Saudi accessible to your clients?
01:51No, so it would be through the U.S. proxy. That's where we'd be focusing attention.
01:55I think that's where the most popular sort of trades would be looking as well.
01:59That's what's most easily accessible and potentially the I would like to see less risk adverse.
02:06But I mean, that's what we just need to focus on at the moment is where is the access to this?
02:10And yeah, through through the U.S. proxies.
02:12I mean, obviously, chip stocks are the area that we've been looking at very focused recently.
02:17Those are the areas that are continuing to to push higher today.
02:21NVIDIA is up more than five percent.
02:23How big a deal is this for them to get access to the Saudi market?
02:26I think this is a big deal, not just because the numbers that have been announced today.
02:32Potentially, they're not really as huge, but it's just what this means for the future.
02:36We know that Saudi Arabia is very focused on looking towards A.I., looking towards technological future.
02:44And so this could be the start of something that really is much bigger than what it appears to be today.
02:49Today is definitely a move in the right direction.
02:52It's upbeat news.
02:53It's encouraging and we can see that from the reaction in the share price.
02:56But I think actually what this means for the future and going forward is almost just as important.
03:01And what's been so hampering the willingness to buy back into generative A.I. trade or to these A.I. infrastructure plays in particular was the lack of clarity.
03:11A lack of clarity as to what the A.I. diffusion rule would be implemented.
03:14We know that that's now not going to be the fact that now it becomes a tip for tap, that it becomes embroiled within the overall tariff conversations on a country by country basis.
03:23Fiona, is that a positive?
03:25Does that even mean that maybe we'll have Jensen Huang having access still to China in some way?
03:31Potentially.
03:31I mean, I think what you say is true.
03:33There has been more clarity than what there was.
03:36But I don't think everything is as clear as it could be for investors still.
03:41I do think there is still a level of uncertainty.
03:44But that has been broadly wiped away.
03:48I mean, if we think about what that means, what investors are looking for is some sort of form of clarity.
03:53And because we are moving slowly and steadily towards a sort of clearer understanding of what Trump is looking for, what Trump's aiming for, then that obviously does help the investors take their decisions.
04:06Does it then become all about the 2024 trade, NVIDIA, AMD once again, the infrastructure play?
04:13Do we broaden it out?
04:14Because at the moment, Apple, of course, has been in the line of fire when it comes to tariff concerns.
04:19How much broader do we go in the buying of tech?
04:21Yeah, I think, you know, as you pointed out, we had seen a very, very strong rally.
04:28We'd seen that AI trade had been obviously very key across 2024 and hadn't been in play at all in 2025.
04:35And I think this potentially does mean that we are seeing a revival of that trade.
04:40But there is also the potential here for it to be broadened out.
04:43I mean, as you pointed out, Apple has benefited greatly from more clarity regarding the US and China and a de-escalation there.
04:53Other tech firms as well also can benefit there, given that their manufacturing bases are so strongly implemented in China.
05:00So there is a potential for that AI trade to broaden out.
05:03And that's what we were looking for as we started into 2025, before we sort of saw all this tariff chaos hit tech stocks.
05:12So I think there is that potential that as we get more clarity regarding the outlook for tariffs, what this means,
05:19that we could actually find that that broadening out of the AI trade does still take place in the latter part of 2025.
05:25So I think there is a potential for that AI trade does still take place in the latter part of 2025.
05:25So I think there is a potential for that AI trade does still take place in the latter part of 2025.
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