The David Lin Report · Wednesday, August 12, 2026
Thomas Hayes notes that the "Mag 7" stocks have underperformed, attributing it partly to the mitigation of the carry trade unwind, which was a factor he previously identified. He also advises caution regarding current market movements, suggesting a sell-off despite strong recent performance in some tech sectors.
“And, uh, we've already seen the, uh, the early stages of the carry trade, uh, uh, I wouldn't call it an unwind, but a mitigation of the carry trade unwind. And, uh, and that's been part of the reason for the underperformance if you remember a year ago when we were on your show, uh, you know, lighten up on the Mag 7, uh, it was predicated on a number of factors, but one of them was the carry trade unwind. And, uh, the Mag 7 has become the lag 7 and underperformed.”
“And, uh, on June, we said get out of semis. Uh, I think this, this move, uh, in the last couple of weeks, look, there are, you know, there's canaries in the coal mine, okay?”
“And I would be a seller of this move.”