Good luck trying to distill some macro insight from the sector break down of today's S&P 500, er, breakdown. The top two sectors are technology and real estate, which aren't exactly Siamese twins when it comes to cyclical sensitivity. During the last earnings season, for example, tech went ballistic as real estate was crushed under the heel of soaring Treasury yields.
Perhaps the best we can say is that the poor performance of industrials reflects ongoing concerns over trade policy, the quasi-stagflationary reading from the ISM and the slowing pace of activity elsewhere around the globe.
Interestingly, the correlation between today's performance of SPX stocks and that of the last year is almost exactly zero, so you can't say that this is an exodus of positions, really. Today's price action is somewhat more correlated with more recent equity trends, but only modestly so.
The irony is that Apple, widely expected to post lousy iPhone numbers after the close, is actually up 1.3% today. Just imagine how lousy the SPX performance would be if AAPL weren't up! (Actually, the answer is 1.45 points lower.)
Source: Bloomberg Pro Terminal
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