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Today’s Summary
Monday, March 8th, 2021
Indices: US Stocks were mixed in today’s session. The Dow Jones Industrial Average gained 306 points or 0.97%. The S&P 500 and Nasdaq fell 0.54% and 2.41%, respectively. The Russell 2000 rose 0.49%.
Sectors: 8 of the 11 sectors closed higher. Utilities led, rising 1.41%. Tech lagged, dropping 2.42%.
Commodities: Crude Oil futures moved lower by 1.57% to $65.05 per barrel. Gold futures dropped 1.21% to $1,678 per ounce.
Currencies: The US Dollar Index gained 0.43%.
Interest Rates: The 10-year US Treasury yield rose to 1.599%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
As Tech & Growth has corrected… elsewhere OK pic.twitter.com/R7m5Ibvd1S
— Strategas (@StrategasRP) March 8, 2021
Today’s Chart of the Day was shared on Twitter by Strategas Research (@StrategasRP). The Nasdaq officially fell into correction territory today (10% off highs). On the other hand, the Dow closed just shy of a record high. Sector rotation is to blame for this bifurcated market. Growth/Tech stocks continue to sell-off, while cyclical areas of the market have caught a bid. Strategas shows Banks, Industrials, and Energy on an equally-weighted basis. All three of these value-oriented sectors are breaking out to new 52-week highs. In a comment to The Chart Report, Todd Sohn of Strategas said, “The question is, will the weakness in Tech spill over to the broader market? So far, that’s not the case. I would emphasize watching the indices on an equally-weighted basis to get an idea of how the average stock is holding up.”
Quote of the Day
“You don’t want to be the smartest person in the room; you want to be the dumbest in the room.”
– Madonna
Top Links
The Day The Growth Trade Topped – The Reformed Broker
Here’s a good read from Josh Brown on the recent weakness in Growth stocks.
After 13 Years, a Key Multi-Year Sector Relationship May Be Reversing and Could Have Enormous Implications – StockCharts.com
Martin Pring offers his perspective on the sector rotation from Tech to Energy.
Tech Stocks, the 10-year Yield and Questionable Narratives – Trend Investor Pro
Arthur Hill examines the relationship between yields and equities.
Weekly Report – 3.8.2021 – Alf Charts
Alfonso Depablos shares some important charts to keep an eye on this week.
Do You Value Stocks? – The Weekly Trend
In this podcast, David Zarling and Ian McMillan discuss some of the major technical developments on their radar.
Top Tweets
Remarkable performance spread among indices today:
Dow +1%
R2 +0.5%
S&P -0.5%
NAS -2.4%— Liz Ann Sonders (@LizAnnSonders) March 8, 2021
It's official. The NASDAQ's lame ass is in a correction. pic.twitter.com/hGyDjcecLU
— Eddy Elfenbein (@EddyElfenbein) March 8, 2021
At 15 days, this was the 9th-quickest correction in the Nasdaq Composite's 50-year history. pic.twitter.com/JYT5cJBBGv
— SentimenTrader (@sentimentrader) March 8, 2021
$AAPL $GLD $TLT all on the cusp of 20% drawdowns, while $RSP has never been higher.
What you own matters. pic.twitter.com/8ZgP88ZBf9
— Willie Delwiche (@WillieDelwiche) March 8, 2021
Banks, industrials, transports, energy and steel at new highs today pic.twitter.com/hpqZypxLtI
— Urban Carmel (@ukarlewitz) March 8, 2021
Nasdaq Composite. Still above rising 150 day and 200 day moving averages, and still 4% above support levels from the Sept/Oct range. #stocks #trading #investing pic.twitter.com/SG01r6igHs
— Stage Analysis (@stageanalysis) March 8, 2021
1.618$NQ_F $QQQ pic.twitter.com/zAbMpsKMhi
— Shane C. Murphy (@murphycharts) March 8, 2021
Captain Obvious… but Tech is just not where you want to be if you're looking for strength.
Buyers will step in soon, I've no doubt, but it's hard to ignore Financials and Industrials at the moment. $QQQ $SPY $SPX $XLK pic.twitter.com/2euy4rQ8oo— Sam McCallum (@honeystocks1) March 8, 2021
$XLE testing Feb 2020 breakdown area. pic.twitter.com/mzzoYT6uDc
— Mark Ungewitter (@mark_ungewitter) March 8, 2021
Nasdaq 100, Dow Jones Industrial Diverge Most Since Year I Was Bornhttps://t.co/z5OnELdmdz via @markets @VildanaHajric @luwangnyc pic.twitter.com/cDfjaqu7Aw
— Katie Greifeld (@kgreifeld) March 8, 2021
The Dow for the "W" pic.twitter.com/73642wv3CV
— Bespoke (@bespokeinvest) March 8, 2021