End on a High Note… After a choppy week that saw a growing lack of conviction start to stir up some small signs of panic, US equities are following on from yesterday’s vaccine optimism and riding the Reopening trade into the weekend. The S&P is now positive for the week as Materials, Transports, and Energy outperform (crude climbing again as no progress has been made to clear the Suez Canal), and renewed risk appetite is helping small caps (IWM +0.4%) partially rebound after a painful few days. Semis are somewhat surprisingly the best performer as chip shortages continue to raise headlines – the SOX is now +1.1% for the week. Banks were previously leading after the Fed announced a loosening of restrictions on dividends and buybacks after June 30th, but the sector has stepped back as yields have retreated through the morning. Autos (Tesla) and Media are the laggards following the usual reopening trade mold.
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