Bubbles in electric-vehicle and clean-technology stocks will deflate as investors look for exposure to a recovery in the world's largest economy, with oil and hospitality stocks emerging among such plays, said JPMorgan on Tuesday. The bubbles trace back to February and early March 2020 when the coronavirus crisis began tightening its grip on US markets. Rallies were tied to the outlook for certain technologies, ideologies and policies and "only to a smaller extent to retail paycheck and popularity and momentum chasing," said Marko Kolanovic, head of macro quantitative and derivatives strategy at JPMorgan, during a Tuesday conference call held by the investment bank. "Really they took off with COVID. There was this premise that we're going to close and reinvent and redesign the world and reimagine," he said. He noted that the bubbles were not directly related to classical economic cycles and rather driven "by a reset agenda." But with economic activity accelerating, "what you're seeing is oil moving up, copper moving up, retail...read more...