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Technology stocks lead market higher, value sectors lag

Yahoo Finance’s Jared Blikre breaks down the market and sector gains heading into this week’s final trading hour, the bond market action, the S&P 500, meme stocks, and crypto price actions.

Video Transcript

Well, let’s take a deeper dive into what’s been happening with the markets with our very own Jared Blikre and the interactive. Jared, what are you seeing?

JARED BLIKRE: All right, I’m seeing an up day and an up week. Nice way to end the week, because we’ve had seven weeks of down action. Today, the Dow is up 400 points, about just over 1%. And we want to take a look, we can see we’re actually exceeding the current day’s highs right now.

And we want to take a look at the 5-day price action. Can see up over 5%, NASDAQ up over 6%. And the S&P 500, well, it’s managing to post 6% gains. But we’ve got an hour left to go, so we’re going to not jump to any conclusions here.

I want to get a quick check of the bond market. It looks like the 10-year is barely doing anything. That’s down 1 basis point or down 1 basis, 5-year’s up one basis point, and the 30-year, let’s see if it’s doing anything. Not really, it’s down 2 basis points.

Well, what is doing something is the sector action on the week. We’re seeing tech and consumer discretionary and real estate, all of those are up more than 2%. Those are the outperformers. To the downside, staples, health care, utilities are the underperformers.

But even the underperformers are posting some decent gains. And let’s take a look at what we have done this week. Consumer discretionary, the number one outperformer here. That is up 9% and that’s after getting absolutely shellacked this year.

We got some decent retail earnings today, but it’s really been touch and go. Here you can see XLY down 25%. And this is what we are looking at this week. So I also want to take a look at a longer term picture of the market and let’s kind of recap what happened in this week so we can figure out what’s going to happen next week, maybe.

We are in a bear market. This is a bear market rally. We’re getting lift off here. If we look at history, recent history, this one only lasted two weeks. So I’ve talked to a number of professional traders.

Yesterday I did a webinar sponsored by and hosted by Fidelity. We had JC Peretz there and some others, John Gagliardi, and they are looking for 4,200 as a very big level. They’re not going to buy it, necessarily. JC was telling me he’s going to wait till it breaks above and then maybe comes back down.

So he will be in the market, but we to clear that first. That’s a hurdle. And then if you look, well, there’s a lot of other hurdles too. So I just want to get to one other study in contrast here today. Show you something really interesting.

I’m going to go to an intraday, we’re going to pull up our meme stocks and you can see a lot of green here. It’s been a good week for meme stocks, but not for crypto. It’s kind of rare that we do see this study in contrasts here, but it is the last trading day before a three day weekend, so I’m not going to make too much of this just yet, Dave.