That spells trouble for equities, as stocks historically have bottomed after the economy enters a recession and after the Fed begins to cut interest rates. Neither of those events have happened yet, strategists said, suggesting more downside was on the way for investors.Most of the S&P 500's gains have been driven by a, with the excitement for AI leading investors to plow their money into the tech sector. Other sectors, meanwhile, have lagged.
"The market cap weighted S&P 500 index has so far outperformed the smaller-cap indexes as well as the equal weighted S&P 500 Index because this rally has ben driven almost entirely by a small number of large companies. This has not been a characteristics of a durable bull market," strategists said.
France Dernières Nouvelles, France Actualités
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