- 6 Major Indices
- 9 Major Sectors
- Commodities, Homebuilders, USD, & USB vs. Major Indices vs. Major Sectors
6 Major Indices
9 Major Sectors
Commodities, Homebuilders, USD, & USB vs. Major Indices vs. Major Sectors
- The Dow Transports have been playing leap-frog in terms of leadership with the Nasdaq 100 and Russell 2000 during those three timeperiods.
- Cyclicals and Financials have been strong performers in all three timeperiods; however, the 'defensive' Sectors (Consumer Staples, Health Care & Utilities) have outperformed the other Sectors for 2013.
- The Homebuilders Sector has been outperforming the commodities during all three timeperiods.
- Copper was holding up until 2013, but is now trading in negative territory for the Year-to-date timeperiod, as are Lumber, Gold, Silver, Oil, DBC & DBA.
- Gold, Silver and Oil were particularly hard-hit this week, while Lumber lost 1.34%.
- The US $ is down 7% from the March 2009 SPX lows, while 30-Year Bonds are up 14%. The US $ is, however, up 3% for 2013, while Bonds are flat for the year...so, a bit of rotation going on this year in these two instruments, while money was favouring the Large-Cap Indices and Transports, as well as the 'defensive' Sectors.
- However, buying got a bit more aggressive this week in the Technology and Small-Cap Indices, as well as the 'riskier' Sectors.
- Small-Caps vs. Large-Caps -- relative strength vs. weakness -- as I've mentioned recently in this post, I'd find it difficult to support any kind of sustained buying in equities without a strengthening in Technology and Small-Caps, particularly with the SPX in the vicinity of a 13-year triple-top formation, and with the NDX facing a triple-top, as I described in this post.
- 'Defensive' Sectors vs. 'Riskier' Sectors -- will the recent buying pick up in the 'Riskier' Sectors?
- Transports Index -- will the strength continue?
- Homebuilders Sector -- will it continue rising if Copper and Lumber continue falling?
- If the Homebuilders Sector falls, will the Financials also drop or vice versa?
- Gold, Silver and Oil -- will their recent weakness continue -- if so, will they finally have a negative impact on the Major Indices -- see the "Comparison of SPX, CRX, USD & USB" section in my last Weekly Market Update post -- I made the case for a negative impact on equities if Gold and the CRX continued to drop.
- US $ and 30-Year Bonds -- will bulls abandon these or continue to accumulate them as a potential hedge against an equity downturn?
- The SPX, NDX & RUT vs. their Volatility Indices -- see my post of April 9th -- will they regain control and dominance over volatility as their ratio pairs trade at their respective resistance levels?