Cantor Fitzgerald raises price targets for multiple AI stocks including Micron and MRVL

According to Goldman Sachs data, hedge funds sold the largest amount of U.S. information technology stocks in the week ending June 25 since records began in 2016. This figure even surpasses the level seen in August 2024, when the Nasdaq 100 index fell more than 10% to enter correction territory. Meanwhile, the share of Magnificent 7 stocks in total U.S. hedge fund exposure dropped to 14.5%, near a three-year low. This percentage has declined by 7 percentage points since the start of 2026, marking the largest six-month drop since the 2022 bear market. The above data shows that hedge funds are cutting their exposure to U.S. tech stocks.

According to an Axios reporter, U.S. envoy Witkoff and Trump senior advisor Kushner will travel to Doha today, meeting Qatar’s prime minister and other officials on Tuesday to discuss negotiations with Iran. On Wednesday, technical teams from the U.S. and Iran will hold separate meetings with Qatari and Pakistani mediators respectively.

Multiple analysts have recently warned that US equities will face $165 billion in selling pressure from large institutions by the end of June, driven by quarterly rebalancing requirements. According to JPMorgan’s analysis, the selling pressure mainly comes from five major institutional pools: - US fixed-income pension funds, which manage roughly $9.6 trillion in assets, are expected to contribute around $55 billion in stock sales, as their rebalancing discipline is relatively loose and typically only partial rebalancing is implemented. - Japan’s Government Pension Investment Fund (GPIF), with approximately $1.9 trillion in assets under management, is projected to sell around $60 billion in global stocks while buying bonds. - Norway’s sovereign wealth fund, managing about $2.1 trillion in assets, is expected to sell roughly $40 billion in stocks to align with its target allocation by the end of 2025. - The Swiss National Bank (SNB), whose equity weighting has risen, is expected to sell around $25 billion, a figure that could decrease if it raises its target equity weighting. - Balanced mutual funds, with around $4 trillion in assets, due to their stricter monthly rebalancing rules, may post small net stock purchases (about $15 billion) this month, partially offsetting the aforementioned selling pressure. Per past public records, institutional selling pressure is likely concentrated in the final days of the quarter, with some funds executing trades ahead of market close, leading to notable selling pressure at the end of trading sessions. BlockBeats Note: Quarterly rebalancing is primarily driven by institutions’ clear policy asset allocation targets, such as 60% stocks and 40% bonds. After a sharp rally in stocks during the quarter, the equity weighting will exceed the target, triggering a rebalancing signal. Therefore, recently surging AI-related US equities will be the first to face divestment from these institutions.

Morgan Stanley’s strategy team led by Mike Wilson warns investors to significantly raise their stock-picking standards amid the current market correction. Wilson notes the ongoing rally has room to extend, driven by “the market severely underestimating the strength of broad-based earnings recovery”. Against the backdrop of falling oil prices and the Federal Reserve likely being less hawkish than current market pricing, he favors consumer discretionary, transportation, and regional bank sectors. Another key concern for Wilson is the recent sharp volatility in the semiconductor sector, which has made it far harder for the market to maintain historically high allocation positions. The Philadelphia Semiconductor Index (SOX) is a prime example: it surged 7.3% in the week of June 15, then plunged 7.9% the following week. He also offers a cautionary analogy for bulls: semiconductors could be another sector this year to have completed a full boom-bust cycle, with a trajectory similar to the silver sector, just four months behind silver in timing. “If rally broadening is a sustainable main trend, then the current upward momentum in the semiconductor sector will likely hit a temporary peak. Judging by the market’s rhythm, this inflection point seems to be arriving as scheduled. This does not mean the semiconductor industry cycle is completely over, but the lack of near-term upside momentum in this sector will leave room for excess returns in other market segments; sectors like consumer discretionary and transportation will stage a temporary rally supported by their own relative positives.”

According to Bitget market data, US stocks turned from gains to losses after opening, with the Nasdaq 100 index falling. The Philadelphia Semiconductor Index extended its decline to 2.5%, with Micron Technology and Arm dropping over 8%, Intel down 7%, Marvell Technology slipping more than 5%, and Nvidia falling 0.7%.

Bitdeer announced that its wholly-owned subsidiary Tydal Data Center AS has signed a cabinet hosting lease agreement for the Tydal AI data center in Norway. The agreement remains subject to relevant preconditions of the customer and supplier, and is expected to officially take effect within one month. Bitdeer stated that it will disclose details including the customer’s identity, leasing capacity, term, and financial impact after the agreement comes into force.