Market Commentary — August 2, 2021
Markets were mixed last week, with large caps and tech-focused names reaching record highs before peeling back on Friday to end the week with modest losses. Still, the S&P 500 Index finished the month with its sixth consecutive monthly gain, its longest winning streak since 2018.
Earnings were a big driver of large moves in individual names, including Amazon’s second-quarter revenue miss on the busiest week of earnings season. There were 177 of the S&P 500’s companies reporting results last week.
Some of the questions continuing to worry investors: are we at peak growth, is inflation transitory or more long-lasting and systemic, and as cases arise, even among vaccinated people, how big of a deal is the delta variant?
There is a growing chorus of Wall Street strategists warning that the market is poised for a correction. The S&P 500 has rallied 96% since the March 23, 2020, COVID bottom.
In ETF land, in a move that was pro-SNARK and anti-ARK, Tuttle filed for a Short ARKK ETF, tracking the inverse performance of the $23 billion flagship fund. And cumulative flows for the year now stand at $520.3 billion, according to FactSet. According to ETF.com, U.S. equities had a week-over-week change of approximately $17 billion in inflows, while inflows to U.S. fixed income nearly quadrupled to $7.2 billion.
One more month to go of summer.
CEO and Co-Founder