No, Five Stocks Are Not Exerting Any Unusual Influence on Market
- Reliance on tech giants like Apple is nothing new for S&P 500
- It’s another example of weird lopsidedness in equity returns
Are a Handful of Companies Driving Market Gains?
This article is for subscribers only.
Here’s another way to describe the stock market’s dependence on a handful of companies driving gains in 2017: What always happens.
Much has been made about how rallies of 25 percent or more in megacaps like Amazon.com Inc. and Apple Inc. are propping up the S&P 500 Index and leaving it at the brink of a record. But a closer analysis shows that what’s happening now is virtually always the case in a market where success is never evenly spread.