📊 Biotech Holds, AI Faces Bottlenecks

Good Morning Investors,

Biotech momentum remains healthy, keeping select small-cap names in focus. At the same time, energy and power constraints are emerging as bottlenecks for AI and data-center buildouts, with implications for semiconductor suppliers and real-estate infrastructure.

On the policy front, tariff uncertainty and a fast-tracked Supreme Court review continue to weigh on petrochemical producers and trade-sensitive small-caps.

The broader context remains shaped by record buybacks and continued large-cap earnings strength, which are supporting major indices. Against that backdrop, small-cap performance is increasingly selective, with winners emerging at the industry level rather than across the asset class.

Matthias Schneider
Editor at Analytica Investor