Weekly Performance Summary

S&P 500: Market Internals The S&P 500 rallied to marginal new all-time highs in January and start February consolidating near those highs.  Below is our S&P 500 Market Internals chart which tracks the strength of the uptrend at the stock level.  That chart is setting up a negative divergence at present.  The middle panel shows […]

COMMENTARY: The S&P500 fell this week. Sensitivity to AI related news pushed the markets down early in the week, followed by a slight mid-week recovery.  Then, tariff talk, the aviation disaster, at the end of the week, collectively resulted in a drawdown of 1%. Energy was the worst-performing sector this week, falling 4.0%. Continued speculation

It’s not so much Growth as it is Mega Cap. AI and attendant “Halo” stocks that are facing headwinds over the past 6-weeks

COMMENTARY: The S&P500 rose this week up 1.74%. Some of the economic drivers were; stronger corporate earnings expectations, projected GDP growth, retreated US government yields, and softer-than-expected inflation data. Communication Services led the way, up 3.1%. Netflix raged 13.9% on Tuesday after it released Q4’24 earnings and posted double the expected subscriber growth. Paramount Global

COMMENTARY: The S&P500 got back into the green this week, up 2.91%. Wednesday the 15th was the best-performing day since November, driven by a tame inflation report, and a positive start of fourth-quarter earnings reports. Energy carried on from last week’s gains, up 6.3%, and continues to be the highest-performing sector so far this year.

The buyer has shown up at our support level, but the S&P 500 remains in a consolidation as we close out the week.  We review factor performance to get a read on investor positioning after recent data releases have muddied the inflation picture again. Macro Equities have rallied since last week’s market tiff over inflation.