U.S. stocks approach historic highs, funds are quietly shifting direction

RektRecovery · 2025-12-28T14:30:12+00:00

U.S. stocks surged strongly, with the S&P 500 approaching historical highs, and the bulls clearly in the lead. Although technology stocks are beginning to weaken, other sectors are performing well, and capital flow diversion is evident. Next week, focus on the Federal Reserve meeting minutes and Trump's appointment updates for the new chair.

RektRecovery

2025-12-28 14:30:12

Abstract generation in progress

【Chain Wen】The US stock market is extremely hot right now. The S&P 500 index has approached its all-time high, just about 1% away from breaking through 7000 points for the first time, and it’s about to hit an 8-month winning streak— a record not seen since 2017-2018.

Senior advisor Paul Nolt of Murphy & Sylvest Wealth Management straightforwardly states: “The bulls have an absolute advantage.” His logic is simple—unless a black swan event occurs, the most likely path for the stock market is to continue upward.

This year’s US stock performance has indeed been fierce. The S&P 500 has risen nearly 18%, and the Nasdaq has surged even more, climbing 22%. However, recently there’s an interesting phenomenon: the tech stocks that have been leading the market are starting to weaken, while other sectors are thriving. Anthony Saglimbene, chief strategist at Ameriprise Financial, pointed out that this indicates funds are shifting—moving toward sectors with lower valuations.

Next week, there are two events worth paying attention to. One is the Federal Reserve meeting minutes, as the market is speculating about when the Fed will cut interest rates next. The other is how Trump will appoint a new Federal Reserve Chair to succeed the current one; any movement in this area could influence the direction of the stock market.

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PriceOracleFairy

· 13h ago

nah the nasdaq pump is giving "sell the news" energy... tech exhaustion + sector rotation = classic before the rug pull tbh. that 1% gap to 7k smells like a liquidity trap, not bullish continuation. where's the volume tho? 👀

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NFT_Therapy_Group

· 13h ago

Are tech stocks starting to falter? This is rotation, and it was bound to happen. The crazy tech surge last year was not a healthy trend, and now the capital is shifting as expected. The question is, how long can other sectors hold up?

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SolidityNewbie

· 13h ago

Tech stocks are starting to falter, this is getting interesting. Previously, it was all about AI hype to keep things afloat, but now funds are really quietly shifting positions.

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BrokenYield

· 13h ago

tbh the "8-month streak" narrative is exactly when smart money starts quietly rotating... that tech weakness? classic before the correction hits. 1% away from 7k sounds bullish until you realize how thin that liquidity really gets up there. black swan's probably already hatching, just nobody wants to admit it yet lol

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