Thornburg Investment Management Portfolio Manager Sean Sun in The Wall Street Journal

Tech Shines, Cyclicals Lose as Traders Bet on Uneven Growth Shock

S&P 500 sectors have been on divergent paths since bank stress began

Investors are wagering that a general slowdown and tighter lending conditions stemming from the turmoil in the banking sector will force the Federal Reserve to loosen monetary policy sooner than expected.

Since the abrupt collapse of Silicon Valley Bank, investors have thrown out the playbook they used last year when they dumped riskier, rate-sensitive technology companies in favor of investments that generated immediate cash for the holder.