Narrow US Stocks Rally Shows Investors Are Cautious
Low volume, narrow leadership show some traders are unconvinced
This article is for subscribers only.
The record-breaking advance in US stocks has many of the hallmarks of an unloved rally. That includes low volumes, muted investor sentiment and a small group of shares leading the charge.
The S&P 500 is up almost 9% in April, closing above 7,000 for the first time last week. JPMorgan Chase strategists today raised their year-end forecast for the index to 7,600 from 7,200. The Nasdaq 100, meanwhile, logged a 13-session rally, its longest winning streak since 2013, before slipping yesterday.