📈 Magnificent Seven's Market Share Slips as Broader S&P 500 Gains Momentum

The Magnificent Seven's dominance in the S&P 500 has recently faltered, marking a shift in market momentum.

• Strong Growth in Early 2024: By July 10, 2024, the Magnificent Seven's market capitalization had surged by 41.2% year-to-date, far outpacing the 8.8% gain for the rest of the S&P 500. This led to their share of the S&P 500's market capitalization rising from 28.1% to 34.2%.

• Shift in Momentum Post-July: From July 10 to November 22, 2024, the Magnificent Seven's market capitalization decreased by 1.6%, while the rest of the S&P 500 gained 10.4%. This reversal reduced their share of the S&P 500 from 34.2% to 31.6%.

This trend suggests a potential broadening of market leadership as investors rotate out of the Magnificent Seven and into other S&P 500 components. It also highlights the volatility and challenges facing mega-cap tech stocks compared to the broader market in late 2024.