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Stephanie Link, managing director and portfolio manager at Hightower Advisors, highlights notable disparities between value and growth stocks. Value stocks are up 20 percent year-to-date, while growth stocks are down 140 basis points.
She notes that the 21 percent relative drawdown for growth is the second largest since the global financial crisis, suggesting the possibility of mean reversion in the market.
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Link previously identified uneven performance in major indexes as the Dow Jones Industrial Average approached a record high, while the S&P 500, Nasdaq, and other benchmarks trailed by varying margins in recent market analysis. In a separate report, she noted that Nike’s brand and direct sales saw declines, with significant drops in China and EMEA regions due to increased competition, as seen in recent coverage. These observations provide added context to ongoing sector and equity performance trends.