Last Thursday I had a great opportunity to interview with Cris Sheridan of FinancialSense. In the interview we discussed the following:
- 2017 has been dramatically different than 2016 in terms of market leadership and breadth
- Currently the market is being led by semiconductors and large cap tech stocks
- Small caps continue to lag large cap stocks
- Commodities and cyclical stocks have performed the worst in 2017 after leading the markets last year
- Foreign stock markets are outperforming the S&P 500
Since early March I’ve been noting on Twitter that the breadth of this market has been weak and therefore it’s been much harder to find winning stocks this year than last year. This is definitely a stock picker’s market so far in 2017.