Money Rotation From Commodities To Tech : AAPL, GOOG, XOM, IBM

As the markets bounce today, the technology sector seems to be the strongest. Stocks like Apple Inc. (NASDAQ:AAPL), International Business Machines Corp. (NYSE:IBM) and Google Inc. (NASDAQ:GOOG) are all higher, while oil stocks like Exxon Mobil Corporation (NYSE:XOM) continue to fall.

It appears, over the last three days a rotation has started to take place from commodity stocks back into technology. This is clearly seen by the action in Apple Inc. of late. Over the last three weeks Apple has barely been able to keep its head above water, falling almost every day, even when the market was rallying higher. This was partly due to rebalancing but also due to money being pulled out of technology and pushed into oil plays like Exxon. Then oil began to collapse, as oil fell from $113.00 to $106.00, oil and all commodity stocks saw a mass exodus. As the mass exodus occurred in the energy sector, Apple Inc. started moving higher. Today, the commodities have continued to sell, Apple and other technology stocks are moving higher.

This movement in these sectors can clearly be pinned on money flow as Wall Street rotates billions in investment capital from one sector to the other.

About Gareth Soloway 168 Articles


Gareth Soloway has been an avid swing and day trader since his days at Binghamton University where he studied Economics. After college, Gareth quickly excelled as a financial advisor, helping clients get their financial houses in order. While helping others gain financial independence, he continued to study the day trading and swing trading world, developing a unique market philosophy and proprietary methods. Following his work in the financial sector, Gareth went on to trade alongside professional traders. Unable to tolerate the hype of Wall Street any longer and having an amazing ability to profit using his developed techniques, Gareth Soloway decided to partner with his friend and colleague, Nicholas Santiago to form Chief Market Strategist Gareth Soloway serves as the president and CFO of InTheMoneyStocks.Com.

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