CathieWood, the star fund manager of Wall Street and the head of Ark Investment, said on Thursday that the rally of energy stocks will soon end, and reiterated her bullish view on electric car manufacturer Tesla.

Last year, the sharp interest rate hike by the Federal Reserve dealt a heavy blow to technology stocks. The ARK Innovation Fund (ARKK), which is owned by Wood and fully bets on disruptive science and technology innovation, has also become the biggest loser.

the $6.8 billion ARK Innovation Fund fell by nearly 67% in 222, making it one of the worst performing American equity funds. However, the fund has risen by 15% so far this year.

"against logic"

On Thursday, the EnergySelectSectorSPDRFund rose by 1.2%, which has increased by nearly 4% in the past 12 months.

However, Wood pointed out that in the past six months, although the oil price dropped by about 3%, the energy stocks still kept rising, which indicated that the market overestimated such value stocks. "From our point of view, the market is going against logic."

Meanwhile, Wood is bullish on Tesla shares as usual.

It is reported that the fund of Ark Investment bought 389,35 shares of Tesla last week, worth about 47 million US dollars.

she estimates that the global oil demand will drop by 3% or more in the next five years, and Tesla will continue to occupy a considerable market share.

She said that the impact of Tesla's recent price reduction measures is "positive" and will continue. This will boost demand, offset the negative impact of price reduction on profitability, and force its competitors to follow the pace of price reduction.