Wall Street Experts Discuss Latest Stock Market Conditions

Wall Street experts weigh in on the latest stock market conditions to talk about the worst sell-off for U.S. technology stocks since March.
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The market recovered some of the losses in early trading Wednesday morning after the widespread sell-off in tech stocks on Tuesday, following the sector’s worst drop since March last week. 

Here is a quick look at what talking heads and market analysts on Wall Street are saying about current conditions in the market:

Stanley Druckenmiller | Hedge Fund Manager

“Everybody loves a party ... but, inevitably, after a big party there’s a hangover,” Druckenmiller, CEO of the Duquesne Family Office, told CNBC.“Right now, we’re in an absolute raging mania. We’ve got commentators encouraging companies to do stock splits. Companies then go up 50%, 30%, 40% on stock splits. That brings no value, but the stocks go up."

Druckenmiller added that the merging of the Fed and the Treasury,  "sets a precedent that we’ve never seen since the Fed got its independence. It’s obviously creating a massive, massive mania in financial assets."

Jim Cramer | Founder of TheStreet, Host of Mad Money

"When we rebound from this sell-off ... I’m insisting you take something off the table ... because it’s rational to do so, the Mad Money host told CNBC. “When you win big at the casino, you don’t go all-in on the next hand, you cash in some of those chips and buy yourself a nice sweater.”

“I’m telling you to have some discipline. I expect this market to have a near-term bounce, and discipline means you should sell something into that rebound,” Cramer added. “Not because the sky is falling — it isn’t — simply because letting all of your gains ride is insane. By all means, leave something on the table … but I do want you to play with the house’s money if you’re up huge."

Joe Little | Chief Strategist at HSBC Global Asset Management

"The resilient performance of equities and muted reaction in the bond market was a positive sign that the tech rout had not spread panic to other corners of the market," as per a report in the  Financial Times. "It looks similar to the phase-in early June when we saw a little bit of ratcheting down and consolidation. The fact that we haven’t seen a spillover into other asset classes is important," he added.

Kerry Craig | Global Market Strategist at JPMorgan Asset Management

“A market fuelled by central bank largesse, economic surprises and record earnings beats in the last few months was never going to maintain its heady pace forever. But not all shocks are a warning of an impending collapse in risk sentiment," as told to the Financial Times.

Mark Haefele | Chief investment officer at UBS Global Wealth Management

With tech stocks leading the market higher in recent months, the ongoing sell-off is just a correction. The sector is expensive, but not in a bubble. A correction need not signal the end of the rally," he said in a recent note. While the U.S. tech sector has climbed to surging valuations, it is still “well below levels seen at the height of the dotcom bubble of the late 1990s levels, when the index forward P/E rose above 70x," he wrote.