May 10, 2021, 9:55 am EDT
Dow Jones and Nasdaq Divergence
Dow Jones and Nasdaq Divergence continue to show the strength in material and energy and weakness in technology. As a result, Dow Jones is up +240 points vs Nasdaq down -183. Therefore, it is important to have commodity stocks in your portfolio to participate in the rally. Here are some examples of commodity types and stocks:
- Basic Material: CLF, X, STLD, AA, FCX, NUE, STLD
- Precious Metal: NEM, KGC, PAAS
- Fertilizer: MOS, CF
- Energy: EOG, DVN, MUR
This situation shows upcoming inflation. It will result in a high-interest rate and destroy the US economy in an ugly way.