World Blog by humble servant. Market Outlook....Fact Base Trading.....The Market Speaks Listen.
Investors continued to rotate out of defensive stocks and into growth stocks today on hopes that the Fed could slow its aggressive tightening policy as inflation showed signs it may have peaked. The major averages built on the previous days gains and closed out one of the best weeks for equities since April 2020. Helping to boost stocks was China adjusting its covid policy, easing quarantine for travelers. That news helped crude oil prices jump and the Energy (XLE) sector led todays advance. Big cap technology and semiconductors were also strong making the Communication Services (XLC), Consumer Discretionary (XLY) and Technology (XLK) sectors the other leading groups. Defensive sectors Healthcare (XLV), Utilities (XLU), Consumer Staples (XLP) and REITs (XLRE) all finished lower. While the bond market was closed, mortgage rates dipped below 7% and the iShares US Home Construction ETF (ITB) rose +1.26% and closed above its 200-day MA. The DJIA erased an early 321-point deficit in selling...