Quarterly Market Insights for 2nd Quarter 2023

THE “MAGNIFICENT SEVEN” AND NARROW MARKET LEADERSHIP
– The Magnificent Seven stocks have benefited from both the perceived safety of their business models and a wave of AI enthusiasm.
– This group has added a combined $4.1 trillion of market capitalization in the last six months, roughly the size of Germany’s economy.
– The best opportunities for valuation expansion in coming quarters are likely to be in the 493 non-Magnificent Seven S&P 500 stocks.