SPY closed at $747.71, holding above key support after yesterday’s dip, while the 10-year yield is steady at 4.53%. Gold is down sharply – off nearly 2% this morning — signaling a risk-on mood as earnings season officially kicks off and puts pressure on defensive positions.
Health Care (XLV) continues to outperform, up +1.8% over the last five days while Industrials (XLI) are also showing strength; both sectors benefit from relative insulation against rate concerns and increased capital allocation towards aging populations. Communication Services is notably lagging — a clear underperformer as tech’s dominance stretches into a second week.
Watching HWM (earnings after close – semiconductor barometer), KRYS (broke $380 resistance yesterday - momentum play) and ROK (testing the 50-day, AI exposure). Also monitoring CVS — lagging peers ahead of earnings.
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