Institutions: Software stocks may continue to face pressure in the short term

Glonghui, February 4th｜Kathleen Brooks from XTB stated in a report that software stocks may continue to be under pressure in the short term. She pointed out that investors are becoming more selective, only supporting certain companies. Entering 2026, AI-related trades are showing significant differentiation, and in the short term, individual stock performance is still mainly driven by company-specific factors. This situation may put pressure on the Nasdaq Index, as investors, influenced by various factors, prefer small-cap stocks over tech giants. However, she also mentioned that the AI supply chain is not without highlights. “Memory and chip manufacturers will be essential to support Anthropic’s latest tools and other future products.”