Stock Market Update

[BRIEFING.COM] After some early choppiness, the S&P 500 (+0.3%), Nasdaq Composite (+0.1%), and DJIA (+0.3%) are modestly higher shortly before midday. 

Though it is not the sharp buy-the-dip rally that last Friday's session produced after similar weakness last Thursday, there are several tailwinds helping the market attempt to stabilize from yesterday's retreat. 

This morning's release of the January CPI (0.2%; Briefing.com consensus 0.3%) and Core CPI (0.3%; Briefing.com consensus 0.3%) readings gave the market's June rate cut odds a modest boost, though the actual timeframe for easing remains variable and several months away. 

Additionally, the latest batch of tech earnings has garnered relatively favorable responses, with Applied Materials (AMAT 360.39, +32.00, +9.74%) and Arista Networks (ANET 145.00, +9.88, +7.31%) both posting solid gains. 

Software stocks are finally seeing some relief buying, though weakness across mega-cap stocks, and in particular, NVIDIA (NVDA 182.97, -3.97, -2.12%), keeps the information technology sector (-0.3%) pinned beneath its flatline. The Vanguard Mega Cap Growth ETF is down 0.2%.

Meanwhile, defensive sectors continue to outperform, with the utilities (+2.5%) and health care (+1.5%) sectors the top-performing S&P 500 sectors today. 

Outside of the S&P 500, the Russell 2000 (+1.6%) and S&P Mid Cap 400 (+1.0%) are rebounding nicely from previous weakness, reasserting their trend of outperformance over the major averages this year.