Look Under Stock Market's Surface: Tech's Sell-Off & Sector Rotation

• The S&P 500 appears calm, but significant sector rotation is happening underneath the surface.
• Top-performing stocks (Magnificent Seven/Mega Caps) are off their highs by 20-50% this year, and are underperforming the broader index.
• Other sectors such as healthcare, financials, utilities, and real estate are seeing strong performance.
• Semiconductor stocks are experiencing a notable downturn, with key technical levels being monitored.
• Upcoming high-catalyst events include the Fed meeting and major earnings reports from companies like Apple, Amazon, Meta, and Microsoft.

The discussion highlights a significant rotation occurring beneath the calm surface of the S&P 500. While mega-cap tech stocks and semiconductors are experiencing a sell-off, other sectors like healthcare, financials, utilities, and real estate are showing strength and outperforming. This broad market participation is viewed as a healthy dynamic, demonstrating market resilience despite geopolitical tensions and upcoming Fed decisions.