The S&P 500 inched up 0.1%, and the Nasdaq was down 0.02% on what looked like a very quiet day, but, once again, there was some exceptionally strong small-cap stock picking, and various themes and sectors were are on a rampage.
Breadth was good at 4,650 gainers to 2,900 decliners, and there were over 400 stocks hitting new highs, but what was most notable about the action there were dozens of individual stocks that were up more than 20%.
Big earnings news from Amazon (AMZN) and Alphabet (GOOGL) didn't have any real impact on the market, but the chasing in cannabis, special purpose acquisition companies, biotechnology, and a variety of other names was downright frothy in places.
This is practically the same action that we were experiencing two weeks ago, and now it seems to be nicely revived after the short squeeze drama of GameStop (GME) and a few other names.
What you have to appreciate about this market is that it's all about picking the right stocks. It has nothing to do with earnings, economics, headlines, or any of the other things that market pundits dwell on. This is just pure stock picking and themes. That is great for traders, but it can be overwhelming when there is so much action in so many smaller stocks.
I noticed a number of traders feeling a little nervous about all the positive action they see, but as we have so often learned, this sort of strength can persist longer than seems reasonable.
Have a good evening. I'll see you tomorrow.