The SPDR Industrial ETF (XLI) set a new all-time closing high on Friday, while the SPDR Technology ETF (XLK) slid for a third straight week. The divergence follows a new trend of investors shifting toward value stocks that can withstand higher interest rates. They’re also looking for companies that can benefit from faster gross domestic product.
The Invesco Solar Energy ETF (TAN) shot 3 percent above its previous 52-week high yesterday. Of the 40+ thematic funds tracked by Market Insights, TAN is the only one above its early-September high. It’s also the top performer in 2020 with a gain of more than 100 percent.
Ever heard of Pinduoduo? GSX Techedu, or Bilibili? They’re among a handful of technology stocks breaking out to new highs as investors embrace China’s flourishing digital economy.
Foot Locker’s (FL) blowout quarter today is the latest example of the trend. Not only did earnings and revenue beat estimates. The key same-store sales metric was also more than twice the expected amount, a sign of successful merchandising and customer engagement.