This Week's Highlights
- The "market" is likely to get an early boost in response to the government's dramatic, last minute avoidance of a shutdown. Nonetheless, with roughly 80% of stocks below their short-term moving averages, we were due for a bounce either way.
- Including the threat of a government shutdown, the current macro backdrop resembles that of 2011, which also weighed heavily on most stocks. Higher quality large caps came into favor then as well, driving a significant performance gap between them and market breadth.