Stock Market Update
16-Oct-26 09:55 ET
Lower-beta stocks take the lead
Dow +366.11
at 52544.01,
Nasdaq -194.95
at 26538.52,
S&P -4.01
at 7740.12
[BRIEFING.COM] The stock market is off to a mixed start, as expected, with some renewed selling in the semiconductor space and AI trade leading to the underperformance of the S&P 500 information technology sector (-1.0%) and the Nasdaq Composite (-0.6%). The Philadelphia Semiconductor Index is down 2.0%.
Nonetheless, there is still broad market support with a rotation out of high-beta stocks and into lower-beta stocks that is benefitting many other sectors.
Early leadership can be seen in the materials (+1.5%), financials (+1.3%), consumer staples (+1.3%), industrials (+1.0%), and utilities (+0.9%) sectors.
An easing in Treasury yields this week has supported the rotation activity. The 10-yr note yield is unchanged today at 5.10%; however, it is down 14 basis points for the week in spite of a rash of disappointing inflation data that included today's Import-Export Price Index for September. The latter showed nonfuel import prices up 6.0% year-over-year and nonagricultural export prices up 11.8% year-over-year.
