Market Insights

The S&P 500 edged lower over the previous week, with a few noteworthy movers beneath the surface. Let’s take a look at the falling and rising groups since last Wednesday.

Losers

• Emerging markets and global stocks are down the most on a few catalysts. First has been a meltdown of confidence in Turkey as President Erdogan meddles in the country’s central bank. Second, lingering uncertainty about tariffs and trade. Third, weakening economic data from Europe. Fourth, the recent run-up in U.S. interest rates and the dollar is siphoning capital away from foreign markets.
• Steel makers and related companies are down on trade uncertainties. Some of the drop was also profit taking after big rallies the previous week.

Winners

• Income stocks: Real-estate investment trusts and utilities have bounced slightly as interest rates stopped rising. These companies are usually valued for their dividends, so they do better when bond yields fall.
• Homebuilders rebounded from a sharp selloff the previous week.
• Natural-gas producers have surged higher as investors continue to hunt for value in the energy sector. Chesapeake Energy (CHK) and Denbury Resources (DNR) have led the charge.
• Precious metals have held their ground, led by silver and silver miners.
• Regional banks (KRE) are holding fractional gains as Congress eases regulation on smaller lenders. There was also a takeover in the group as Fifth Third (FITB) acquired MB Financial (MBFI).