© Reuters. Is the Swiss National Bank to Blame for Today’s Tech Stock Massacre?
After rallying yesterday on the move by the FOMC to raise interest rates by 75 bps, and with another potential 75 bps coming in July, stocks sold off aggressively overnight Thursday and remain deep in the red. In addition to investors’ worries about inflation and a possible recession, CNBC’s David Faber highlighted that in its surprise rate hike move today, the Swiss National Bank may have also indicated that they could be selling U.S. stocks to keep the Swiss Franc stronger.
Faber highlighted that the Swiss National Bank owns $177 billion in U.S. stocks. A quick scan of their 13F shows top holdings include: Apple (NASDAQ:), Microsoft (NASDAQ:), Amazon (NASDAQ:), Google (NASDAQ:), Meta (META), NVIDIA (NASDAQ:)
Faber said he heard the Swiss speculation from three different people today.
Commenting on Faber’s revelation, Jim Cramer said he was puzzling about why the FAANG names were getting hit so hard at 4 AM ET and he thinks Faber may have “answered the puzzle.”
By StreetInsider.com Staff
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