Investors shift focus from large tech to smaller, economically sensitive stocks

From Nasdaq: 2024-10-16 13:17:49

Wall Street traders are shifting focus from mega-cap tech stocks to smaller, economically sensitive stocks. The Russell 2000 surged 1.5%, hitting its highest level since November 2021, while Morgan Stanley posted a 32% increase in third-quarter profit, and United Airlines saw shares jump 11% after beating earnings estimates. Nasdaq 100 fell 0.2% as large-cap tech names like Nvidia and Apple retreated.

Investors are showing interest beyond large tech names, with smaller companies gaining momentum and strong earnings from Morgan Stanley and United Airlines. The market remains cautious, with tech stocks like Nvidia experiencing volatility. ECB rate decisions and U.S. economic data will impact market movements this week, potentially leading to further rotation out of tech into economically sensitive stocks.



Read more at Nasdaq: Quiver Morning Markets Data Wrap: Russell 2000 Hits High as Investors Rotate