| Author | Message | ||
     Entrepreneur Kurra Bewarse Username: Entrepreneur Post Number: 3829 Registered: 05-2011 Rating: N/A |
The broader stock market is doing well today. Several of the mega-cap stocks and other growth stocks are not. That distinction is at the heart of the divide between the Invesco S&P 500 Equal Weight ETF (RSP 160.75, +1.40, +0.9%) and the Nasdaq Composite (-0.6%). It is also at the heart of the underperformance of the information technology (-1.1%) and consumer discretionary (-0.9%) sectors. The turn in the growth stocks can't be pinned on rising interest rates. The 10-yr note yield, in its newly frenetic fashion that has it trading more like a high-beta stock, is down three basis points at 1.43% after having pushed above 1.47% earlier. The 2-yr note yield, meanwhile, is down five basis points to 0.62% in a move that might suggest a burgeoning belief that the Omicron variant is going to convince the Fed to take a more cautious-minded step into a tightening cycle. Whatever the case may be, that steepening is contributing to the outperformance of the bank stocks and the financial sector (+1.7%). |