In the Q2 2026 13F filings, it was revealed that U.S. institutional investors increased their holdings in semiconductor and AI infrastructure stocks. Among the 6,371 institutions, 44% reduced their holdings in the Magnificent Seven, while 42% either increased their holdings or initiated new positions. In the semiconductor sector, 48% reported net purchases, while 34.5% reported net sales. In software, 28.2% reported net sales, and 26.3% reported net purchases. The 13F data reflects the quarterly holdings reported by large U.S. institutional investors to the SEC, with this data being as of the end of June. Institutions showed varying levels of caution regarding AI-related stocks, with approximately 36% of institutions making net purchases in infrastructure stocks like CoreWeave and Arista Networks. In contrast, software remained in a selling position. Taiwan Semiconductor Manufacturing Company (TSMC) raised its capital expenditure outlook for 2026 to between $60 billion and $64 billion, citing continued strong demand for AI. The caution reflected in the 13F filings and the expansion of corporate capital investment are occurring simultaneously, indicating a trend towards selective strengthening rather than a reduction in AI investments.
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