Expect Less Magnificence to Run Downhill in the S&P
The shine is coming off the seven giant tech stocks, and that doesn’t bode well for the other 493 companies in the benchmark index.
John Authers is a senior editor for markets and Bloomberg Opinion columnist. A former chief markets commentator at the Financial Times, he is author of “The Fearful Rise of Markets.”
Partly cloudy for the Magnificent Seven.
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All it took was a cold blast of reality from earnings season to thwart the relentless optimism that has been powering the Magnificent Seven, the biggest stocks in the S&P 500 by market capitalization. While their earnings were not too disappointing, the hopes hinging on the prospective growth of the big internet platform companies look to have left these firms vulnerable to the slightest disappointment.
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Expect Less Magnificence to Run Downhill in the S&P