“You and I come by road or rail, but economists travel on infrastructure.” Margaret Thatcher
Welcome to today’s edition of Wall Street Connected.
We’ve wrapped up what was a volatile week on Wall Street. Tech stocks went through quite the sell-off, as indicated by the Nasdaq trading nearly four percent lower at some points in time.
Stocks also fell as a result of yields increasing due to the $1.9 trillion stimulus proposal.
While some of the world’s largest technology companies such as Apple, Facebook and Amazon fell, one industry continued to trade with strength and avoid uncertainty.
A recent outperformer by bullish trends in markets, oil and gas exploration and production is ranked #9 on top searched industries by total traffic amongst financial professionals over the course of last week.
This industry ranked higher in financial professional searches than internet retail, which is interesting to see due to the inflow of internet retail popularity as a result of the COVID-19 pandemic, which has caused many consumers to stay-at-home.
The exchange traded fund which many traders and investors turn to when analyzing the price action of oil and gas exploration and production is the SPDR S&P Oil & Gas Exploration & Production ETF (XOP).
On February 25, when the tech-heavy Invesco QQQ Trust (QQQ) closed below its 50-day simple moving average line support for the first time since October 28, 2020, XOP made a new one-year high of $85.63/share.
The recent strength displayed in the oil and gas exploration and production industry may be indicated by the prices of fuel having increased by as much as 25% at your local gas station.
Here are some highlights from FA searches this past week…
|RANK||TOP INDUSTRY (EQUITIES) BY FAs (Total Traffic) – This Past Week||TOP INDUSTRY (EQUITIES) BY FAs (Surging Traffic) – This Past Week||TOP SECTORS/CATEGORIES (ETFs) BY FAs (Total Traffic) – This Past Week||TOP SECTORS/CATEGORIES (ETFs) BY FAs (Surging Traffic) – This Past Week|
|1||Biotechnology||Engines & Turbines||Equity – Large Cap Growth Equities||Equity – Large Cap Value Equities|
|2||Auto Manufacturers||Coking Coal||Equity – Leveraged Equities||Equity – Latin America Equities|
|3||Entertainment||Home Furnishings & Fixtures||Equity – All Cap Equities||Multi-Asset – Preferred Stock/Convertible Bonds|
|4||Drug Manufacturers – Specialty & Generic||Building Materials||Equity – Technology Equities||Bond – Emerging Markets Bonds|
|5||Specialty Retail||Insurance agents, brokers, & services||Commodity – Precious Metals||Equity – Volatility Hedged Equity|
|6||Software – Application||Financial Conglomerates||Volatility – Leveraged Volatility||Equity – Communications Equities|
|7||Semiconductors||Auto Parts||Equity – Health & Biotech Equities||Equity – MLPs|
|8||Drug Manufacturers – General||Mortgage Finance||Equity – Alternative Energy Equities||Equity – Hedge Fund|
|9||Oil & Gas E&P||Travel Services||Equity – Materials||Equity – Emerging Markets Equities|
|10||Consumer Electronics||Home Improvement Retail||Equity – Energy Equities||Bond – Corporate Bonds|
|11||Diagnostics & Research||Drug Manufacturers – General||Equity – Small Cap Growth Equities||Equity – Building & Construction|
|12||Software – Infrastructure||Real Estate – General||Bond – Government Bonds||Equity – Europe Equities|
|13||Telecom Services||Agricultural Production-Crops||Equity – Financials Equities||Bond – Preferred Stock/Convertible Bonds|
|14||Auto Parts||Insurance – Specialty||Equity – Large Cap Blend Equities||Equity – Energy Equities|
|15||Internet Content & Information||Lodging||Equity – Consumer Discretionary Equities||Commodity – Agricultural Commodities|
|16||Medical Devices||Utilities – Regulated Gas||Equity – Small Cap Blend Equities||Bond – Leveraged Bonds|
|17||Computer Hardware||REIT – Industrial||Equity – Industrials Equities||Equity – Consumer Staples Equities|
|18||Aerospace & Defense||Department Stores||Volatility – Volatility||Bond – Inflation-Protected Bonds|
|19||Internet Retail||Steel||Equity – Global Equities||Bond – Total Bond Market|
|20||Credit Services||Metal Fabrication||Equity – Asia Pacific Equities||Bond – National Munis|
What We’re Reading:
What We’re Watching:
The pandemic has hit certain sectors more than others. While some sectors have suffered, others have thrived.
So which sectors should traders and investors be focusing on through the rest of 2021?
You can see the details in this new video.
What We’re Liking (Sponsored):
P.S. We’d like to apologize for missing your inbox over the past few days as we’ve been resolving some technical tune ups, but as a loyal reader, we’d like to thank you for tuning into today’s edition of Wall Street Connected.