Citadel strategist: Funds will flow back into AI stock trades after the US midterm elections

BlockBeats news, October 21 - Scott Rubner, Head of Equity and Derivatives Strategy at Citadel Securities, stated that after the U.S. midterm elections, investors are expected to re-enter the market to position in AI-related stocks, driving this investment theme that has recently faced selling pressure to outperform the broader market again next month. Currently, institutional clients tend to wait for political uncertainty to subside, while retail investors continue to actively buy on dips.

Speaking in an interview with Bloomberg Television on Tuesday during Citadel Securities' Global Markets Future Forum in New York, Rubner noted that investors generally view the midterm elections as a key event to clarify risks, and the post-election period may be exactly the right time for AI stocks to regain leadership.

He said the message from clients is: "Willing to buy at higher prices, but not now before a major political event." This reflects that some capital would rather wait for clarity than rush to position amid the recent pullback.