Rising Tide Starting To Leave Weakest Cyclical Stocks Behind
The broader market is lower today after the S&P gained 5.7% in the last five sessions. And unlike recent down days, the headlines haven’t been about the number of new COVID-19 cases or the rollback of economic opening plans.
But the performance of pandemic-sensitive stocks, which have struggled lately, indicates that investors are taking into account industries that may never completely recover rather than embracing the overall enthusiasm of a V-shaped recovery seen last month.
Carnival Cruise Lines (NYSE:CCL), off 5.5%, and the rest of the cruise lines have settled into a tighter range after their spike following the big surprise in nonfarm payrolls, as have casinos.
In a note out today, Grant Thornton Chief Economist Diane Swonk ranked industries by risk using proprietary measures and work by Oxford Economics to identify those areas “most vulnerable to losses triggered by COVID-19”. Read more…………..
Chart Of The Day
Payne Capital Management President Ryan Payne joins Yahoo Finance’s Zack Guzman to break down the latest market outlook as more states loosen restrictions.