Morgan Stanley: Investors Shift From Chip Stocks to Mega-Cap AI Firms, Eyes S&P 500 Target of 8,000 on July 6

CHIP0.40%
US5000.35%
According to Morgan Stanley strategists on July 6, investor capital is shifting away from semiconductor stocks toward mega-cap technology companies with strong core businesses and AI infrastructure assets, including Microsoft, Amazon, and Meta. The team, led by Michael Wilson, noted that momentum in chipmaker stocks is weakening as these mega-cap firms offer greater appeal given their dominant positions in the AI ecosystem. Morgan Stanley set its year-end target for the S&P 500 index at 8,000, implying approximately 7% upside from current levels.
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