Well, we got more downward action in SPX this morning as expected. But at this point, I think Basic Materials are holding up really well.
I think this is indicative of a shift from growth stocks to value stocks i.e. from QQQ, AMZN, GOOG, AAPL, etc to Energy, Materials, Transports, etc which are solid dividend paying values at this point. Typically when the resource sectors lead tech, it is bearish because of the momo types piling into high beta cyclicals but if value types are buying really cheap resource stocks, it may not be that bearish.
Shift from Growth to Value
Started by
kaiser soze
, Oct 03 2011 10:17 AM
2 replies to this topic
#2
kaiser soze
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Posted 03 October 2011 - 11:02 AM
As of noon EST, XLE and OIH have gained > 2% from their intraday lows.
AAPL, GOOG, IWM, SOX still languishing in negative territory. AMZN modestly positive but well-off intraday highs.
#3
kaiser soze
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Posted 03 October 2011 - 12:00 PM
Downdraft in tech stocks too tough for the market to fight. SPX 1101 here we come.
