Following up on yesterday's video commentary (be sure to watch if you haven't yet) around the action among sectors of late, here's a look at the S&P 500 Dispersion Index -- which measures how differently the members of the index are moving from one another.
The white line measures dispersion, the blue represents the index itself... Note that we are currently well within the the range where volatility tends to pick up, in a not-always favorable fashion:
As for overall breadth, it's been somewhat stinky of late as well, this morning being no exception... I.e., , while the Dow is up 460 points as I type, note that 12 of its 30 components are actually red on the morning... For the S&P 500, it's up 0.68% while over half of its members are declining... And the Nasdaq is up 1% while, also, over half of its constituents are bleeding a bit (btw, the difference in the math would represent those that are flat on the session).
Now, to be clear, this is not necessarily a harbinger of bad things to come, just two of multiple indicators we track... Per yesterday's commentary, we remain constructive, although guarded, for the time being.
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