From a rattlesnake to a garden snake?
FAANG stocks, the acronym coined by TheStreet's Jim Cramer to represent Facebook Inc. (FB) , Apple Inc. (AAPL) , Amazon.com Inc. (AMZN) , Netflix Inc. (NFLX) and Alphabet Inc. (GOOGL) , pulled back some heading into the back half of this week.
"In general, rising rates will be detrimental to high [price to earnings ratio stocks,] which is what the FAANG stocks are," said Stifel Financial Corp. (SF) Chairman Ron Kruszewski to TheStreet on Tuesday, June 12. "If we're going to have a pullback, I think FAANGs will be part of that pullback."
While shares of FAANG constituents were by no means market laggards, the stocks weren't flexing their muscles as hard as they have in recent weeks. The high-performing tech stocks were by and large up narrowly in Wednesday trading, but looked positioned for gains early Thursday.
Facebook stock eked out a 0.01% gain by the closing bell Wednesday, swiftly pumping the brakes on what had been three previous sessions of far more solid gains. Monday trading saw Facebook shares rally 1.29% by the close. Facebook stock rose 0.67% Thursday morning just after the opening bell.
Apple shed 0.82% into the close Wednesday, tallying its fourth down session in five. Throughout the last five days, Apple has lost 1.43% of its value. Shares traded close to flat Thursday morning.
Amazon rose slightly, up 0.36% on Wednesday. Shares are narrowly higher in the last five sessions, up just under 1%. Amazon stock gained 0.4% Thursday.
The exception was Netflix, which snagged another record Wednesday with a massive 4.43% gain. It was the second session in a row in which Netflix earned a new high. Shares are higher more than 5% in the last five sessions. Netflix stock looked to continue its momentum Thursday, as shares rallied 1.47% at the open.
Alphabet dipped 0.34% on Wednesday, its fifth session in the red in the past seven. Shares are up about 0.9% through the last five days and gained 0.98% Thursday morning.
The broader technology sector slipped Wednesday, too, as the Technology Select Sector SPDR ETF (XLK) fell 0.51% by the close. The fund climbed 0.5% Thursday morning.
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