Stocks bounced back last week after the prior week’s AI selloff. The S&P 500 rose 2.5% and is up 10.5% ytd. The chip trade rebounded, but leadership changed hands. Nvidia’s board opened an investigation into allegations against CEO Jensen Huang, who resigned on Thursday. CFO Colette Kress is interim CEO. Investors moved into the stocks of Nvidia’s rivals. AMD rose 19% for the week, and Broadcom rose 18% as Nvidia fell 13%.
Health Care and Financials have outperformed since the market’s March 30 low. Health Care is up 31.1% and Financials 21.1%, both ahead of the S&P 500’s 19.2% (chart). Staples has lagged, up just 12.3% over the same period, even though it's up 20.2% ytd.
Here’s more on Financials, Health Care, and Consumer Staples:
