01 Jun 2023 1 min read

Chart of the month: the bull and the bear

By Christopher Teschmacher

What's behind the huge performance differential between the NASDAQ and the Hang Seng Tech indices?


After following similar trajectories for the first few weeks of the year, the NASDAQ and the Hang Seng Tech equity indices have since opened up an enormous performance differential.

Clearly, the AI boom has benefitted US companies far more than their Chinese counterparts, or at least the demand for such exposure has not outweighed China’s reopening stumble and regulatory uncertainty. The chart is a good indication of the divergent sentiment towards these themes.

Whatever you think about their longer-term prospects, if such sentiment becomes too extreme, markets are always vulnerable to near-term corrections.

Christopher Teschmacher

Fund Manager

Chris is something of a perfectionist which may explain the raft of automated spreadsheets ensuring charts are properly formatted to Teschmacher® standards. Having become the resident quiz master, he keeps his colleagues on their toes with a steady stream of investment trivia. This worldly Dutchman has wanderlust in his blood – he was born in Australia and has lived in London, New York and Paris. He has since settled in London with his young family, although regular trips to the South of France suggest that ambitions to become a vineyard owner are still strong.

Christopher Teschmacher