January 2024

There has been a good bit of selling to start the year primarily in the tech heavy NASDAQ and the magnificent 7 hasn’t been spared. 

This selling, or rotation, doesn’t mean investors are selling out big tech or the magnificent 7. It means profits are now being taken because it’s a new tax year. As this rotation evolves the money leaving one sector of the market will find another sector of the market to call home. And, with several sectors of the stock market having been beaten down over the last 12-14 months, more than a few sectors look attractive. For now, expect a return to volatility meaning it’s likely to see more red days than we did during the last quarter of 2023.