Utilities breakout bodes well for further relative strength

Key Takeaways

  • Thursday’s churning continuing to follow a “Two-steps forward, One Step back” type trajectory. Higher prices are likely into the March FOMC meeting.
  • Defensive strength looks to be reasserting itself, and Utilities breakout bodes well for this group to outperform on an absolute and relative basis vs SPX in 1H 2022
  • Commodity gains while DXY strengthens argue for a domestic tilt vs Emerging near-term
No compelling evidence of ...

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