FAANG stocks and the largest technology stocks have dominated in a year of uncertainty (to put it lightly). Their consensus P/E ratios are forecast to be the highest in decades.

As the economy has been decimated due to the Coronavirus and company earnings estimates have been hit in correlation, the largest of tech companies have been the investments to make – so far.

With the following news coming out this week, will these tech names be the trades to make this week and beyond?

Tuesday – U.S. Manufacturing PMI: Markets could improve if the PMI expectation of 50.0 materializes.

Thursday – U.S. GDP: Analysts are braced for a sharp drop in Q1 GDP, with an estimate of -5.0%. To reflect the damage to the economy due to the Coronavirus, markets are preparing for a drop in U.S. Q1 GDP of -5.0%. Traders should be very careful if losses are larger than expected.

Also Thursday – U.S. Unemployment Claims: The consensus at this point in the COVID-19 timeline is another drop of 1.3 million.

Lastly, companies like Nike Inc (NYSE:NKE) are reporting earnings this week – which will provide the foundation and set the stage for how we can anticipate future earnings reports.

Watch the full interview to see how the expert roundtable are going to trade the news this week and their opinions on best sectors to trade in the short/long term.

Original article: Tech Stocks: The New Safe Haven?©2020 Midas Letter. All Rights Reserved.