SPY closed at $751.71, less than half a point off its 90d high, while gold dipped to $376.69 – a move from the recent highs suggests risk appetite is firming. The 10-year Treasury yield held steady at 4.54%, giving growth stocks room to run as earnings season begins in earnest.
Health Care (XLV) continues to lead, up over 2% this week – defensive positioning combined with strong relative strength is driving the bid. Industrials (XLI) are also showing resilience, benefiting from a stable yield environment and positive economic data; the XLI/SPY ratio just hit a new monthly high.
We're watching CRDO (earnings after close — financials kick off), HWM (broke $280 last week – momentum confirmation) and CASY (sector laggard – potential mean reversion). Also, keep an eye on CVS (support test at $102.69 — earnings next week).
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