Market overview 2023-07-20

Thanks to weak corporate reports, primarily on Tesla and Netflix, the high-tech part of the U.S. stock market, namely the Technology and Communications sectors, rallied down by more than 2 percentage points leading the Nasdaq and to a lesser extent the S&P 500. The Dow Jones index, however, managed to stay in positive territory thanks to the Energy sector and partly the Healthcare sector. Market participants are showing clear concerns about overbought Big Techs and appear ready to realize some of their long positions, perhaps in favor of more undervalued pharmaceutical or financial company issuers.