Some respondents to the latest Bloomberg Markets Live Pulse (Bloomberg Markets Live Pulse) survey believe that investing in America's biggest tech stocks is not only a way to bet on innovation, but also a tool to hedge against inflation.

46% of survey participants believe that gold, as a safe haven for decades, is still seen as the best guarantee against the risk of rising inflation. But nearly a third said tech giants were their first choice.

This result highlights Nvidia Corp. (Nvidia Corp.) Companies such as Amazon (Amazon.com Inc.), and Meta Platforms Inc. are playing a leading role in the US financial market as they expand their influence in major sectors of the US economy. This allows them to generate stable profits, stimulate a rebound, and convince investors that they will continue to be a source of steady returns.

The US inflation rate has fallen sharply from 2022 levels, but the inflation rate for the first three months of this year has exceeded economists' expectations and has remained stubbornly above the Federal Reserve's 2% target. This makes rising prices the biggest concern for investors. Of the 393 respondents, 59% believe that between now and the end of the year, a resurgence in inflation is the biggest tail risk facing the financial market.

The next CPI report is due to be released this Wednesday, and the market expects the reading to be around 3.4%.

For example, since the inflation rate first surpassed 2% in March 2021, Nvidia's stock price has soared more than six times. Even Apple Inc. (Apple Inc.), which has experienced peaks and troughs, performed better than the market during this period, rising more than 50%, while the S&P 500 index rose by about 30%.

However, like other growth stocks, tech companies are sensitive to changes in inflation and interest rates because their valuations are largely dependent on future profits. About a quarter of respondents indicated that the US recession is the biggest risk in 2024. The survey showed that US Treasury bonds rather than stocks would provide better protection in this case.

Despite the Federal Reserve's monetary tightening policy, the US economy unexpectedly remained resilient. This allowed cash to continue to flow into the US, US bond yields were high, and corporate profits continued to grow. The inflow of these funds has fueled another appreciation of the dollar, which is regarded by the vast majority as the best currency to withstand periods of market turbulence.

Nearly three-quarters of respondents said that the US dollar is the best safe haven currency. The Swiss franc won about 23% of the vote, and the yen won about one-sixth of the former. Among respondents in the US and Canada, the US dollar won 86% of the votes, while in Europe, 43% of respondents chose the Swiss franc.

The survey shows that the yen has lost its status as a safe haven due to the depreciation of the yen against the US dollar and Japan's ultra-loose monetary policy. The huge gap between Japanese and US interest rates caused the yen exchange rate to fall to its lowest level since 1990 earlier this year.

Gold prices have risen nearly 15% this year, and the Central Bank of China is one of the biggest sources of demand for gold. As Russia's dollar assets were confiscated after the Russia-Ukraine conflict broke out, many countries are trying to reduce their investment in the US dollar. Naturally, gold is a beneficiary.

In this survey, only 13% of respondents said investors seeking assets that are not influenced by geopolitics are beneficial to Bitcoin.