From Seekingalpha · Erik Conley · · 40s
S&P 500 Drops 0.5% as AI Stocks Sell Off
S&P 500 falls 0.5% last week as AI stocks become toxic while defensives gain.
In brief
S&P 500 falls 0.5% last week as AI stocks become toxic while defensives gain. The S&P 500 declined 0.5% last week due to selling in AI stocks and a shift toward defensive sectors. Originally reported by Seekingalpha.
Market Decline
The S&P 500 declined 0.5% last week with selling concentrated in large-cap growth and AI stocks.
Sector Rotation
Rotation favored small and microcaps, value, yield, commodities, and defensives while big tech, ai, blockchain, and high-beta stocks saw outflows.
Market Position
Despite recent volatility, the s&p 500 is only 2.5% off its all-time high with long-term momentum marginally positive.
The main idea
The S&P 500 declined 0.5% last week due to selling in AI stocks and a shift toward defensive sectors.
