ETRN - The Momentum Has Shifted Away From Defensives Back Toward Cyclicals
In the past week or so, I noticed a distinct shift in the performance of the various stock sectors.
Quite simply, the market is backing off of defensive sectors such as real estate, utilities, telecommunications, and consumer staples, while momentum has picked up with the cyclical sectors such as financials, industrials, technology, and consumer discretionary again.
In what follows, I'll use my own very defensive portfolio to demonstrate this shift, narrowing down when exactly the shift began, and finishing off with my best stab at the primary reason behind this shift.