Amazon , Meta and Alphabet ‘s stocks all tanked last week after disappointing earnings, but investors looking to buy tech stocks on the dip should hold off for now, according to strategist Dan Scott. Instead, market participants should wait for a notable change in tone from the Federal Reserve on interest rates, Scott, head of multi-asset management at Swiss asset manager Vontobel, told CNBC Friday. “We wouldn’t go out the risk spectrum and start buying tech just yet because that’s likely not going to see a sustainable recovery until you see pivot in Fed speak,” he said, referring to forward guidance on interest rates from the Fed. Scott pointed towards a “softening of language” from Neel Kashkari, president of the Minneapolis Fed, and St. Louis Fed President Jim Bullard. Still, he suggested that wasn’t enough for the central bank to move away from its hawkish stance on raising interest rates. “We need the market to understand that we’ve had an end to the hiking cycle, where we have some sort of a security about where the terminal rates are going to be before tech stocks can take off again,” said Scott, who advises clients on $50 billion worth of assets. “We’re just not there yet.” ‘Market wants to rally’ Scott is not alone in that view over the short term. “I think it’s still too early to rotate into mega-cap tech,” said Lizzie Evans, managing partner at Evans May Wealth, told CNBC on Friday. Instead, she expects a multiple compression, such as a decline in price-to-earnings ratio, in Big Tech stocks by the end of the year. “We’re seeing signs that the market wants to rally, but we’re somewhat straddled between Fed speak and higher interest rates,” she added. Evans said stock markets could rally by 5-15% by the end of the year if the Federal Reserve raised interest rates by 50 basis points in December, but cautioned that it is unlikely to happen. Markets are expecting interest rates to rise by 75 basis points on Nov. 2, with a similar rise on Dec. 14. As the cost of borrowing rises and the global economy slows down, technology companies — known for their high double-digit growth over recent years — have reported lackluster forecasts. Amazon shares plummeted 13% in extended trading Thursday after the company issued a disappointing forecast . Meta also lost nearly a quarter of its value Thursday, taking its stock back to levels seen at the start of 2016. Shares in Alphabet, Google’s parent company, closed more than 8% lower Tuesday after it revealed a slowdown in its ads business. To maintain their margins in a tough macro environment, the tech giants are now focusing on controlling costs. Meta and Salesforce are among those in Silicon Valley that have slowed their pace of hiring this year, while Coinbase , Netflix , and others have resorted to layoffs. Vontobel’s Scott said Amazon’s results and subsequent share price reaction showed the extent to which investors were focused on tech firms’ future growth trajectory. “15% growth in revenue — that’s great. That’s what I’m looking for in a tech stock. The problem is the outlook: 2-8% growth is not what I’m looking for in the tech stocks,” he said.