When Michael O’Rourke started describing the biggest technology stocks as the Magnificent Seven in April, the JonesTrading strategist didn’t realise how ubiquitous the nickname would become, dominating market discussion since mid-May when it became widely used.The group’s recent performance, however, particularly the ultimately flat reaction to chipmaker Nvidia’s stunning earnings this week, suggests it could be time for a less glorious-sounding moniker. 

“It seemed fitting when they were responsible for 88 per cent of the market gains — that was a pretty magnificent achievement,” says O’Rourke. “I don’t like talking about seven stocks every day, but they are still what is driving the market.”

So far this year, the combined group — Apple, Microsoft, Google parent Alphabet, Amazon, Tesla, Nvidia and Facebook parent Meta — are responsible for three-quarters of the S&P 500’s gains. It has been a dazzling display. Recently, however, they are not pushing stocks higher.