Rotation returned back into the indexes Tuesday, though it wasn't as drastic as we've seen in recent weeks. But it slowed down some of the small caps and growth names that have been perking up recently. Breadth was positive, so it wasn't that narrow, but the Dow Jones industrial average was the leader Tuesday, while the Nasdaq and Nasdaq 100 lagged.
The FATMAAN stocks struggled while banks, oil, steel, and commodities did well. This was due in part to progress on the $1 trillion infrastructure bill, but rotation has been the name of the game for quite a while now and continues to control the action.
Overall it was a mild summer day, with limited pockets of strong momentum and some random movement, as well. Volume was light, but the folks in the business media were able to talk about a new all-time high for the Dow, which makes them happy.
We have some earnings hitting from names like Coinbase (COIN) and Upstart (UPST) that will offer some trading action, but the good news is that this is primarily stock-driven action rather than a macro-driven market.
Have a good evening. I'll see you tomorrow.