Market Turning ‘Discriminate’ & Rewarding ‘Patience’ in a Volatile Year
The market isn’t breaking. It’s rotating.
In a recent interview on Schwab Network with Marley Kayden, our EVP of Investment Strategy, Sam Miller, examined the ongoing rotation trade and the constructive signals emerging beneath headline volatility.
While volatility has increased, signs aren’t pointing to systemic stress. Instead, we’re seeing:
- Broader market participation — 65% of S&P 500 stocks beat the index in January
- The equal-weight S&P 500 reaching new highs, a sign of healthier breadth
- Leadership broadening beyond mega-cap technology names
The AI trade is evolving. Capex is expected to reach ~$600B this year, but markets are no longer rewarding spending alone. Investors are demanding clearer returns and sustainable business models.
Rotation remains a central theme in 2026. However, Sam cautions some cyclical sectors appear overbought in the short term, reinforcing the importance of patience and selectivity.
Third Party Site
The information being provided is strictly as a courtesy. When you link to any of the websites provided here, you are leaving this website. We make no representation as to the completeness or accuracy of information provided at these websites. Nor is the company liable for any direct or indirect technical or system issues or any consequences arising out of your access to or your use of third-party technologies, websites, information and programs made available through this website. When you access one of these websites, you are leaving our web site and assume total responsibility and risk for your use of the websites you are linking to.
Dated Material
Dated material presented here is available for historical and archival purposes only and does not represent the current market environment. Dated material should not be used to make investment decisions or be construed directly or indirectly, as an offer to buy or sell any securities mentioned. Past performance cannot guarantee future results.