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Afternoon Note

Tech Bounces Back…Blue Chips Forge Ahead

By Charles Payne, CEO & Principal Analyst
6/19/2017 1:34 PM

There is a strong rebound in the market today in key areas, including technology, which struggled early last week with a short campaign on NVIDIA that triggered sector-wide selling.   The Amazon/Wholefoods news is a reminder of the global dominance this industry will enjoy for many years to come.  (Sure, tech names can become overbought from time to time, but the five year+ story line is one of the new paradigms in the way we live and think spearheaded by the Tech revolution.)

Sector Performance

% Change

S&P 500 Index

 

+0.68%

Consumer Discretionary (XLY)

 

+0.61%

Consumer Staples (XLP)

 

+0.26%

Energy (XLE)

-0.42%

 

Financials (XLF)

 

+0.91%

Health Care (XLV)

 

+0.98%

Industrials (XLI)

 

+0.40%

Materials (XLB)

 

+0.61%

Real Estate (XLRE)

-0.15%

 

Technology (XLK)

 

+1.23%

Utilities (XLU)

-0.24%

 
 
Financials are doing well today ahead of the bank stress test results.  The group is so far behind, the risk/reward has improved dramatically. 

I also like the continued strength in infrastructure related companies.

Investing in the market assumes down times and even losses, so stop playing the top guessing game and own great American companies in a balanced portfolio, which is monitored and adjusted.


 

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