All major US equity indices spiked in the early hours overnight on the back of optimistic vaccine headlines from Russia. However, while Russell 2000 futures are holding gains up over 1%, Nasdaq has tumbled into the red as the last few days trend of momo/growth vs value rotation appears to be accelerating...
As a reminder, the last two days have seen the biggest plunge in momentum since the early June quant-quake...
Source: Bloomberg
As the reflation trade inflects as money supply falls for two straight weeks...
Source: Bloomberg
...and momentum vs value flips...
Source: Bloomberg
The biggest two-day rotation since the June collapse...
Source: Bloomberg
Cyclicals also dominated defensives...
Source: Bloomberg
Source: Bloomberg
If this is truly accelerating then that could begin to impact the mega-tech stocks driving the entire market, then look out below.
Comments
Log in or sign up to join the conversation.