Mega-Cap Momentum

The biggest names in the market just keep getting bigger. The ratio of the Top 50 U.S. companies versus the broader S&P 500, has broken out to new all-time highs, and on pace for its best week of the year. This breakout is confirmation that the largest companies continue to be the place to be versus the rest. Yesterday, the top three largest companies in the world all closed at their highest prices ever. Leaders lead, and the others tend to follow. I wouldn’t take this as a negative sign for the broader market, but a positive sign signaling how strong the leaders really are. And with strong leaders, you have a strong team.

What do you think about all of this? Feel free to reach out and let me know your thoughts. As always, thanks for reading and blessings to all!

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