There’s a wrinkle in this rally. A couple actually. Perhaps they mean nothing as nothing ever matters, perhaps they mean everything. While markets are continuing to see an incredibly strong bid there are a couple of sectors not playing along. Have you noticed?

Take the semiconductor space. While indices are making new highs the semi space is not.

Indeed:

I can think of one other time where I’ve seen this before: 2007

$SPX made new highs in October, semis did not. Back then it was meaningful.

Will it now?

Well find out in due time.

By the way, what’s up with utilities?

Perhaps it’s just a wrinkle, but worth pointing out nevertheless.