Equities finished yesterday mixed, with the QQQ and SPY seeing modest declines while the VIX ticked slightly higher, suggesting some lingering caution. Gold pulled back notably, and the 10-year Treasury yield remains elevated near 4.65%, indicating continued sensitivity to inflation and economic data. Heading into today, we’re watching if this risk-off tone persists or if recent sector leaders can regain momentum.
Technology (XLK) and Energy (XLE) showed relative strength yesterday and are poised to potentially lead today, benefiting from ongoing demand and supply dynamics respectively. Communication Services (XLC) is showing neutral momentum, while Materials (XLB), Industrials (XLI), and Real Estate (XLRE) are lagging, reflecting broader economic concerns in those areas.
We're watching AVGO, FLEX, VRT, GOOGL, and LLY for potential catalysts today, given recent news and sector trends.
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