Rotten Tomato Stocks
No Result
View All Result
  • News
    Park Outside: Hyundai, Kia Recall Vehicles Due to Fire Risk

    Park Outside: Hyundai, Kia Recall Vehicles Due to Fire Risk

    Stocks Fall, Bond Yields Tumble After Fed’s Latest Rate Hike

    Stocks Fall, Bond Yields Tumble After Fed’s Latest Rate Hike

    First Majestic Shares Drop After Mining at Nevada Operation Suspended

    First Majestic Shares Drop After Mining at Nevada Operation Suspended

    Wheat Futures Fall After Export Deal Reached

    Wheat Futures Fall After Export Deal Reached

  • NYSE
    Kellogg (NYSE:K) Takes On Some Risk With Its Use Of Debt

    Kellogg (NYSE:K) Takes On Some Risk With Its Use Of Debt

    UnitedHealth Group Inc. stock falls Thursday, underperforms market

    UnitedHealth Group Inc. stock falls Thursday, underperforms market

    Chewy stock dips as earnings show shrinking customer count, forecast of no profit growth

    Chewy stock dips as earnings show shrinking customer count, forecast of no profit growth

    Nike stock turns lower, as enduring costs, markdowns weigh on margins

    Nike stock turns lower, as enduring costs, markdowns weigh on margins

  • NASDAQ
    Cidara Therapeutics Down 3% After Hours Following FDA Approval

    Cidara Therapeutics Down 3% After Hours Following FDA Approval

    Xerox Holdings Corp. stock falls Thursday, underperforms market

    Xerox Holdings Corp. stock falls Thursday, underperforms market

    Mineralys Therapeutics (NASDAQ:MLYS) Reaches New 52-Week Low After Analyst Downgrade

    Mineralys Therapeutics (NASDAQ:MLYS) Reaches New 52-Week Low After Analyst Downgrade

    Petco Shares Sink 13% After Issuing FY23 Guidance

    Petco Shares Sink 13% After Issuing FY23 Guidance

  • OTC
    China Eastern Airlines 3Q Loss Widens on Low Travel Demand

    China Eastern Airlines 3Q Loss Widens on Low Travel Demand

    Corus Entertainment 4Q Profit Falls

    Corus Entertainment 4Q Profit Falls

    Nintendo Co. Ltd. ADR falls Monday, still outperforms market

    Nintendo Co. Ltd. ADR falls Monday, still outperforms market

    Ocado Group PLC Revenue of Ocado Retail in Q3 Fell 10.6%

    Ocado Group PLC Revenue of Ocado Retail in Q3 Fell 10.6%

  • TSX
    US Seeks to Fine Air Canada $25.5 Million Over Slow Refunds

    US Seeks to Fine Air Canada $25.5 Million Over Slow Refunds

    S&P/TSX composite falls on drop in materials sector, loonie tops 81 cents US

    S&P/TSX composite falls on drop in materials sector, loonie tops 81 cents US

    Bitcoin Is Falling: Should You Buy the Dip?

    Bitcoin Is Falling: Should You Buy the Dip?

    CN Rail Stock Is So Undervalued That it’s Absurd

    CN Rail Stock Is So Undervalued That it’s Absurd

  • News
    Park Outside: Hyundai, Kia Recall Vehicles Due to Fire Risk

    Park Outside: Hyundai, Kia Recall Vehicles Due to Fire Risk

    Stocks Fall, Bond Yields Tumble After Fed’s Latest Rate Hike

    Stocks Fall, Bond Yields Tumble After Fed’s Latest Rate Hike

    First Majestic Shares Drop After Mining at Nevada Operation Suspended

    First Majestic Shares Drop After Mining at Nevada Operation Suspended

    Wheat Futures Fall After Export Deal Reached

    Wheat Futures Fall After Export Deal Reached

  • NYSE
    Kellogg (NYSE:K) Takes On Some Risk With Its Use Of Debt

    Kellogg (NYSE:K) Takes On Some Risk With Its Use Of Debt

    UnitedHealth Group Inc. stock falls Thursday, underperforms market

    UnitedHealth Group Inc. stock falls Thursday, underperforms market

    Chewy stock dips as earnings show shrinking customer count, forecast of no profit growth

    Chewy stock dips as earnings show shrinking customer count, forecast of no profit growth

    Nike stock turns lower, as enduring costs, markdowns weigh on margins

    Nike stock turns lower, as enduring costs, markdowns weigh on margins

  • NASDAQ
    Cidara Therapeutics Down 3% After Hours Following FDA Approval

    Cidara Therapeutics Down 3% After Hours Following FDA Approval

    Xerox Holdings Corp. stock falls Thursday, underperforms market

    Xerox Holdings Corp. stock falls Thursday, underperforms market

    Mineralys Therapeutics (NASDAQ:MLYS) Reaches New 52-Week Low After Analyst Downgrade

    Mineralys Therapeutics (NASDAQ:MLYS) Reaches New 52-Week Low After Analyst Downgrade

    Petco Shares Sink 13% After Issuing FY23 Guidance

    Petco Shares Sink 13% After Issuing FY23 Guidance

  • OTC
    China Eastern Airlines 3Q Loss Widens on Low Travel Demand

    China Eastern Airlines 3Q Loss Widens on Low Travel Demand

    Corus Entertainment 4Q Profit Falls

    Corus Entertainment 4Q Profit Falls

    Nintendo Co. Ltd. ADR falls Monday, still outperforms market

    Nintendo Co. Ltd. ADR falls Monday, still outperforms market

    Ocado Group PLC Revenue of Ocado Retail in Q3 Fell 10.6%

    Ocado Group PLC Revenue of Ocado Retail in Q3 Fell 10.6%

  • TSX
    US Seeks to Fine Air Canada $25.5 Million Over Slow Refunds

    US Seeks to Fine Air Canada $25.5 Million Over Slow Refunds

    S&P/TSX composite falls on drop in materials sector, loonie tops 81 cents US

    S&P/TSX composite falls on drop in materials sector, loonie tops 81 cents US

    Bitcoin Is Falling: Should You Buy the Dip?

    Bitcoin Is Falling: Should You Buy the Dip?

    CN Rail Stock Is So Undervalued That it’s Absurd

    CN Rail Stock Is So Undervalued That it’s Absurd

No Result
View All Result
Rotten Tomato Stocks
No Result
View All Result

Bad Breadth: Whiff of Danger as Market Gains Lack Scope

Editorial Staff by Editorial Staff
July 23, 2021
0
Bad Breadth: Whiff of Danger as Market Gains Lack Scope

Even before Monday’s swoon _ the worst day for stocks on Wall Street in a couple months _ the market was flashing concerning signals.

NEW YORK — Even before Monday’s swoon — the worst day for stocks on Wall Street in a couple months — the market was flashing concerning signals.

Chief among them were sharp moves in the bond market that indicated worsening expectations for economic growth and inflation. Critics also noticed that a dwindling number of stocks was driving the broad market’s rise toward more records.

From June 1 through July 16, the S&P 500 climbed nearly 3% and set more than a dozen records along the way. But during that span, 57% of stocks in the S&P 500 fell. They lost an average of roughly 7%, mirror the average gain of the stocks in the index that rose.

Strategists at Morgan Stanley call the narrowing leadership in the U.S. stock market “bad breadth,” and they say it’s a sign the market’s run is moving from the early days of its cycle to the middle.

Banks, airlines and other industries that depend on a strong economy to thrive were among the losers as doubts crept into the market that the economy could fulfill investors’ lofty predictions.

That’s in sharp contrast to the first five months of the year, when 87% of stocks in the S&P 500 rallied and the index rose 11.9%. It’s a concept that market watchers call “breadth,” and they say it’s a healthy sign when many stocks are lifting the market.

What’s driving the broad market higher this summer are the relatively few most influential stocks. Apple, Microsoft and other Big Tech stocks all rallied powerfully through June and July, for example, in part because investors expect them to grow almost regardless of the economy’s overall strength.

Because they’re so massive, and because the S&P 500 gives more weight to movements by stocks with larger valuations, gains for these Big Tech stocks are masking weakness across much of the rest of the market.

American Airlines, Delta Air Lines and United Airlines all lost at least 16% from June 1 through July 16, for example, as worries mounted about slowing economic growth. But to get to the size of one Apple, you would have to combine all three airlines — and multiply that by more than 45 times. Apple stock rose 17.5% from June through mid-July.

To be sure, measures of breadth in the S&P 500 are still above their average levels for the past few decades.

But breadth has nevertheless narrowed sharply from earlier this year, marking an inflection point for the market. And looking at stocks beyond the S&P 500, which only includes the biggest U.S. companies, accentuates the divergence.

While the S&P 500 is still within a few percent of its July 12 record high, the smaller stocks in the Russell 2000 have been scuffling since hitting a peak in March. As of Monday they’d fallen nearly 10% from that high.

Stocks from emerging markets have also struggled as the pandemic worsens in many countries due to the delta variant. The MSCI Emerging Markets index, which includes stocks from Brazil, China, India and other developing economies, has been bouncing up and down for months after falling more than 10% from its peak set in February.

Strategists at Morgan Stanley say the bull market’s deteriorating breadth seems to be foreshadowing a sharp slowdown in corporate profits and an “economy that may feel worse than most are expecting.”

Related Posts

Park Outside: Hyundai, Kia Recall Vehicles Due to Fire Risk
News

Park Outside: Hyundai, Kia Recall Vehicles Due to Fire Risk

March 24, 2023
Stocks Fall, Bond Yields Tumble After Fed’s Latest Rate Hike
News

Stocks Fall, Bond Yields Tumble After Fed’s Latest Rate Hike

March 22, 2023
First Majestic Shares Drop After Mining at Nevada Operation Suspended
News

First Majestic Shares Drop After Mining at Nevada Operation Suspended

March 22, 2023
Wheat Futures Fall After Export Deal Reached
News

Wheat Futures Fall After Export Deal Reached

March 21, 2023
Load More
Next Post
Why Plug Power Stock Ended on a Down Note This Week

Why Plug Power Stock Ended on a Down Note This Week

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

I agree to the Terms & Conditions and Privacy Policy.

POPULAR NEWS

CNH Industrial (NYSE:CNHI) Use Of Debt Could Be Considered Risky

CNH Industrial (NYSE:CNHI) Use Of Debt Could Be Considered Risky

April 14, 2021
CN Rail Stock Is So Undervalued That it’s Absurd

CN Rail Stock Is So Undervalued That it’s Absurd

May 2, 2021
US Seeks to Fine Air Canada $25.5 Million Over Slow Refunds

US Seeks to Fine Air Canada $25.5 Million Over Slow Refunds

June 17, 2021
Ocado Group PLC Revenue of Ocado Retail in Q3 Fell 10.6%

Ocado Group PLC Revenue of Ocado Retail in Q3 Fell 10.6%

September 14, 2021
10 Warning Signs That Should Tell You “This Stock is in Trouble”

10 Warning Signs That Should Tell You “This Stock is in Trouble”

November 11, 2019

EDITOR'S PICK

Is Hub Group (NASDAQ:HUBG) Using Too Much Debt?

Is Hub Group (NASDAQ:HUBG) Using Too Much Debt?

March 14, 2022
Cintas Corp. stock falls Tuesday, underperforms market

Cintas Corp. stock falls Tuesday, underperforms market

April 13, 2022
Western Digital (NASDAQ:WDC) Sets New 52-Week Low After Analyst Downgrade

Western Digital (NASDAQ:WDC) Sets New 52-Week Low After Analyst Downgrade

September 19, 2022
2 products sold by Rocky Mountain Soap Company recalled

2 products sold by Rocky Mountain Soap Company recalled

June 18, 2022

Stay Updated

Get breaking news delivered straight into your inbox

Nothing in this publication should be considered as personalized financial advice. We are not licensed under securities laws to address your particular financial situation. No communication by our employees to you should be deemed as personalized financial advice. Please consult a licensed financial advisor before making any investment decision. This is a paid advertisement and is neither an offer nor recommendation to buy or sell any security. We hold no investment licenses and are thus neither licensed nor qualified to provide investment advice. The content in this report or email is not provided to any individual with a view toward their individual circumstances. Rotten Tomato stocks is a wholly-owned subsidiary of Grainne Capital Limited.
While all information is believed to be reliable, it is not guaranteed by us to be accurate. Individuals should assume that all information contained in our newsletter is not trustworthy unless verified by their own independent research. Also, because events and circumstances frequently do not occur as expected, there will likely be differences between the any predictions and actual results. Always consult a licensed investment professional before making any investment decision. Be extremely careful, investing in securities carries a high degree of risk; you may likely lose some or all of the investment.

Rotten Tomato Stocks cover the companies and markets that are declining, failing or headed for disaster. We help investors spot the down tends and recognize when something smells rotten.

RECENT POSTS

Park Outside: Hyundai, Kia Recall Vehicles Due to Fire Risk

Kellogg (NYSE:K) Takes On Some Risk With Its Use Of Debt

UnitedHealth Group Inc. stock falls Thursday, underperforms market

POPULAR POSTS

Chewy stock dips as earnings show shrinking customer count, forecast of no profit growth

Cidara Therapeutics Down 3% After Hours Following FDA Approval

Xerox Holdings Corp. stock falls Thursday, underperforms market

© Copyright 2023 RottenTomatoStocks. All Rights Reserved 

Disclaimer | Privacy Policy

No Result
View All Result
  • HOME
  • NEWS
  • NYSE
  • NASDAQ
  • OTC
  • TSX

© 2021 RottenTomatoStocks.com

error: Content is protected !!
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.