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The tech-heavy Nasdaq Composite (^IXIC) has seen some quick ups-and-downs in the first hour of Friday trading. On top of this morning's global outages linked to a CrowdStrike (CRWD) update to Microsoft Windows systems (MSFT), investors have begun to rotate out of the Big Tech trade.
Carson Group Chief Market Strategist Ryan Detrick comes onto the Morning Brief to talk about why this new trend may not entirely be "shocking." The small-cap Russell 2000 (^RUT) has climbed by nearly 200 points in the past week and a half alone.
"I think we expected this type of move [out of Tech]. And honestly, guys, we think it's going to continue," Detrick tells Yahoo Finance. "Doesn't mean we hate tech. We're more neutral tech, but we really think these other underloved, underappreciated, and under-owned areas are probably going be pretty good the second half of this year.
Detrick goes on to talk about what the interest rate environment will mean for small and large-cap stocks if the Federal Reserve does follow through with rate cuts.
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This post was written by Luke Carberry Mogan.