Equities: Defensive sectors outperform as chips retreat – Danske Bank

Danske Research Team notes global equities slipped modestly, with the S&P500, Nasdaq and Russell2000 all lower. Semi-conductors in the S&P500 underperformed after a strong prior run, while defensive sectors such as healthcare and staples led gains. Asian equities and US and European futures turned mostly higher, suggesting limited follow-through selling.

Global stocks see mild pullback

"Global equities ended the day lower by 0.3% yesterday, after being down 1% at the lows."

"For once, semi-conductors in the S&P500 were among the weakest performers closing 1.4% lower, after being down about 4.5% earlier in the day."

"We will not overdo conclusions on such setback after an impressive 35% run over the past month."

"The defensive sectors, led by healthcare and staples, were among the top performers with gains of 1.9% and 1.6%, respectively in a broad based defensive outperformance."

"S&P500 closed down 0.2%, Nasdaq 0.7% lower, and Russell2000 down about 1%."

"Asian equities are mostly in green this morning after an initial setback."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)