Free Trial

Tech Remains the Underperformer as Stocks Extend YTD Downtick

EQUITIES
  • Headed into the European close, equity markets are close to the lowest levels of the session, with the e-mini S&P touching 4010 and the lowest level since April last year. This extends the year-to-date losses for the S&P500 to over 15% (a 3845 print in the e-mini S&P would mark a 20% drop from the Jan highs, and a bear market for the index).
  • 4,000 marks immediate support (psychological round number) ahead of 3958.00, the 2.00 proj of the Mar 29 - Apr 18 - 21 price swing.
  • Relative resilience for value names evident in the DJIA's losses this year being limited to 11%, while the NASDAQ-100 is off 25%.
  • Energy names are offered, dropping over 6% as a sector on the back of the >4% drop for crude oil prices, while tech extends recent weakness. Consumer staples are the sole sector in the green - underpinning the outperformance of defensive stocks over cyclicals.
  • Across Europe, sentiment is similarly negative, with the EuroStoxx50, CAC-40 and FTSE-MIB off 2.3% apiece.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.