Asian markets: US government bond yields

According to UBS, the data center sector is expected to experience rapid growth over the next few years.

The investment bank predicts the data center sector will grow 15% to 20% from 2024 to 2025, with “healthy” double-digit growth in the following years.

We have listed three related stocks that are responsible for the trend.

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— Tan Weizhen

The energy sector has reversed and overtaken the broader market this year, as soaring oil prices have pushed stocks to record highs.

The energy sector has gained more than 17% this year compared to the S&P 500’s 9% rise.

ExxonMobil hit an intraday high of $122.15 on Friday, up more than 21% since the beginning of the year. Refiners Marathon Petroleum, Phillips 66 and Valero also hit new highs on Friday. These stocks are up 47%, 27%, and 40%, respectively, over the year.

Diamondback Energy is trading at its highest price since its initial public offering in October 2012 on Monday, while ConocoPhillips is at its highest level since November 2022.

There may still be room for energy to rally, considering the sector has underperformed the broader market by 15% over the past year. Many momentum funds do not yet incorporate this sector, as they consider 12-month performance.

BTIG technical analyst Jonathan Krinsky told clients on Sunday: “This could mean there is further upside potential for the group as relative strength has returned and it has just breached a two-year benchmark. This suggests that there is a high level of

— Spencer Kimball

Torsten Slok, chief economist at Apollo Global Management, said recent data supporting a rebound in manufacturing activity and “signs of life” in inflation are some of the factors pointing to an impending market slowdown.

“I think this resetting of interest rates is very important because it tells us that we have been waiting for this economic slowdown for a long time. Don’t you expect it to come within a quarter? Especially since the November FOMC meeting, where the stock market has gone up $10 trillion on tailwinds?” Slok told CNBC early Monday. “There are dramatic tailwinds for consumption and business investment in the coming quarters, which should continue to support the upward trend in inflation.”

Against this backdrop, Slok pointed out that the stock market rally is spilling over into other sectors beyond technology. He advised investors to look at winners and losers from a “bottom-up perspective” rather than just reaching for the “Magnificent Seven” that delivered such strong returns last year.

— Peer Singh

Treasury Secretary Janet Yellen said Monday that measures such as tariffs on China’s green energy exports are not out of the question.

In an interview with CNBC’s Sarah Eisen, she responded to a question by saying, “I’m not ruling anything out at this point. Everything needs to be on the table. I want to work with the Chinese side to see if we can find a solution.” ” he said. and the potential for the U.S. government to impose tariffs if China does not adjust its approach to industry incentives.

“I’m not really thinking about export restrictions, including some changes in macroeconomic policy and especially reducing subsidies to businesses by local governments,” Yellen said.

Yellen also noted that the U.S. plans to “emphasize” necessary policy changes in future talks.

— Fred Imbert