Ironically, This Subsector Is Destroying Wealth Today

Folks, we're unquestionably seeing bull market signs all around us... In fact, you've likely noticed the past few Chaikin PowerFeed essays have led with a similar message. [Chaikin PowerFeed]( Ironically, This Subsector Is Destroying Wealth Today By Marc Chaikin, founder, Chaikin Analytics Folks, we're unquestionably seeing bull market signs all around us... In fact, you've likely noticed the past few Chaikin PowerFeed essays have led with a similar message. We want to make it clear... The market is full of opportunity right now. But that doesn't mean every sector and subsector is doing well... Ironically, one subsector designed to protect your money is actually destroying investors' wealth today. It's down around 31% in the past six months alone. And its bigger brother is down roughly 21% over the same span. Those losses are huge compared with the broad market. The S&P 500 Index has gained more than 13% in 2023. And the tech-heavy Nasdaq Composite Index is up about 35%. Avoiding a sector-specific wipeout is critical for investors... Put simply, folks can find tremendous upside potential if they know where to look right now. But a misstep into the wrong sector or subsector could lead to serious losses. Fortunately, avoiding those missteps is easy with the Power Gauge. So today, let's take a closer look at the subsector that's currently destroying investors' wealth... Recommended Links: [Buy Stellar Lumens (XLM) immediately]( Beginning July 1, the U.S. dollar is "going crypto." To play this story, one of America's most successful crypto analysts is issuing a FREE recommendation. But please, DO NOT place this transaction until you [review his full instructions](... before this briefing goes offline. [This Disease Is Spreading Across the Nation]( This disease currently impacts 125 million Americans. But a breakthrough from ONE drug company could soon have the power to change everything... and treat an additional 3 billion other people globally. A top medical financial analyst now predicts massive gains for those who act now, BEFORE a major announcement from the FDA comes as soon as June 26 (TODAY). [Click here before this hits major headlines](. Folks, when it comes to six-month performance, one subsector is clearly the worst. And yet, it could already be fading from your memory... You see, [the "run on the banks" from just a few months ago]( has already moved out of the news cycle. But the financial sector as a whole is still hurting... The Financial Select Sector SPDR Fund (XLF) is still down more than 4% this year. And that remains the case even as the Federal Reserve starts to loosen its grip on interest rates. When we dig a level deeper into the subsectors, we come across a clear loser... Regional banks. In the Power Gauge, we measure that subsector using the SPDR S&P Regional Banking Fund (KRE). And it's easy to see on the chart that things are still seriously wrong. Take a look... [Chaikin PowerFeed] Regional banks have gotten absolutely wiped out this year. But fortunately, as you can see in the bottom panel of the chart above, the Power Gauge noticed the change before it happened. It first flashed a "bearish" warning last December. Today, the subsector still holds a "bearish" rating in the Power Gauge. And none of the 142 rated stocks within this exchange-traded fund earn a "bullish" or better rating today... [Chaikin PowerFeed] Its bigger brother, the SPDR S&P Bank Fund (KBE), is nearly as bad. It holds just seven "bullish" or better stocks. And 56 of its holdings are currently "bearish" or worse. Folks, it's ironic... Banks are supposed to protect our wealth. But they've destroyed a lot of investors' wealth so far this year. And as we've seen today, they're still acting as wealth destroyers. Will things stay that way forever? Absolutely not. The market will eventually rotate back toward financials. But today, we're nowhere near that point... Large banks are struggling. And the smaller players, the regional banks, are as "bearish" as it gets. It might seem obvious. But I recommend you avoid this space until further notice. Good investing, Marc Chaikin Market View Major Indexes and Notable Sectors # Hld: Bullish Neutral Bearish Dow 30 -0.63% 10 17 3 S&P 500 -0.73% 158 244 97 Nasdaq -0.99% 57 35 8 Small Caps -1.57% 507 903 458 Bonds +1.00% — According to the Chaikin Power Bar, Small Cap stocks and Large Cap stocks are somewhat Bullish. Major indexes are mixed. * * * * Sector Tracker Sector movement over the last 5 days Health Care -0.14% Discretionary -0.56% Communication -1.08% Staples -1.19% Industrials -2.06% Financial -2.50% Materials -2.54% Information Technology -2.62% Utilities -3.37% Energy -4.33% Real Estate -4.86% * * * * Industry Focus Dow Jones REIT Services 5 33 73 Over the past 6 months, the Dow Jones REIT subsector (RWR) has underperformed the S&P 500 by -15.00%. Its Power Bar ratio, which measures future potential, is Very Weak, with more Bearish than Bullish stocks. It is currently ranked #19 of 21 subsectors and has moved down 2 slots over the past week. Indicative Stocks [rating] SLG SL Green Realty Corp [rating] DEA Easterly Government [rating] ARE Alexandria Real Esta * * * * Top Movers Gainers [rating] KMX +10.07% [rating] GNRC +3.41% [rating] CE +2.17% [rating] DGX +1.94% [rating] CRL +1.78% Losers [rating] AIZ -5.69% [rating] AXON -4.17% [rating] VFC -3.75% [rating] QRVO -3.66% [rating] DXC -3.58% * * * * Earnings Report Reporting Today Rating Before Open After Close CCL No earnings reporting today. Earnings Surprises [rating] KMX CarMax, Inc. Q1 $1.44 Beat by $0.63 * * * * You have received this e-mail as part of your subscription to PowerFeed. If you no longer want to receive e-mails from PowerFeed, [click here](. You’re receiving this e-mail at {EMAIL}. 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