Sentiment in markets was strong Friday and the leaders on the Dow Jones Industrial Average showed mostly a move into cyclical stocks, versus defensive, a risk-on posturing.
The S&P 500 rose as much as 1.4%, with the Dow up 1.54% and the tech-heavy Nasdaq up just 1.3%.
Here were 5 of the biggest gainers on the Dow:
Here were 5 of the biggest losers on the Dow:
In addition to the move into largely cyclicals and out of defensives, it’s not a surprise to see Microsoft trailing the pack Friday. Growth stocks, which Microsoft is sometimes still considered, have powered the market in the past month or so and with the next batch of their earnings not due for several months, investors may be less willing to pile into these largely recession-resistant secular growers if their earnings multiples are too stretched.
Meanwhile, the market has been incrementally more bullish on a fast -- not slow -- economic recovery.
Some states have reopened, while fiscal stimulus has begun to ease the decline in consumer spending. President Trump’s renewed trade spat with China has thawed for the moment.