Megacap stocks are now aligning with the broader market’s downward trend, highlighting a significant shift.
As reiterated, the path forward seems to depend on two potential scenarios: either interest rates experience a substantial and unexpected decline from their current levels, or the valuations of these high-flying stocks face a profound reappraisal.
Agreed 100%. Chart below shows the enormous recent increase in real rates, historically speaking. When considered against the moves in these stocks over time, it becomes clear how those rates recently moved from tailwind to headwind for their valuations. https://t.co/0jsG74le9Y
— David Sommers (@dgsommersmkts) October 26, 2023
Seven stocks are holding up the stock market.
Q3 EPS: +11%
Q3 EPS w/o 7 stocks: -8.6%Ouch. https://t.co/toRroDhhAJ
— Genevieve Roch-Decter, CFA (@GRDecter) October 26, 2023
Nasdaq has officially entered a correction as the index has fallen more than 10% since the 14,446.55 high on July 19 pic.twitter.com/vrIrURQRWm
— Barchart (@Barchart) October 26, 2023
https://twitter.com/NorthmanTrader/status/1717615847072546898
BREAKING: Google stock, $GOOGL, is now down by 10% posting its worst day since March 2020.
Nearly $200 billion in market cap has been erased today alone.
The 7 largest tech stocks in the S&P 500 have lost more than a combined $500 billion today.
This is the most widespread… pic.twitter.com/1NcZx3b7eM
— The Kobeissi Letter (@KobeissiLetter) October 25, 2023
The S&P 500 is now down 8.8% from its closing high at the end of July, the largest drawdown of the year. $SPX pic.twitter.com/6TZgn9CBnT
— Charlie Bilello (@charliebilello) October 26, 2023