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Defensive sectors and factors, such as consumer staples, health care, utilities, low volatility, value, and dividend yield, are leading at the start of the trading day for stocks. Risk-on sectors and factors, including communications, industrials, consumer discretionary, and momentum, are lagging, according to Liz Thomas.
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Liz Thomas recently highlighted that the S&P 500 is up 14% for the year, attributing the gain to strong forward EPS growth despite a P/E drag in her previous report. In another note, she discussed how artificial intelligence is rapidly changing cybersecurity and investment trends, raising questions about the sector’s outlook in her earlier coverage. These observations provide further context for current sector and factor performance.