Not-So-Narrow Bull Market

Have the S&P 500’s eight largest-capitalization stocks, the so-called MegaCap-8, been eating all the jellybeans, starving the other 492 in the S&P 500 LargeCap index during the current bull market? No. While the eight heavyweights have been on a sugar high in this bull market, they’ve left plenty of sweets for the rest of the stock market.  

Since October 12, 2022, when the bull market started, the S&P 500 is up 39.6% through yesterday's close (table). Only two of its 11 sectors have outperformed the index, namely Information Technology (80.3%) and Communication Services (69.1). Those sectors are home to six of the MegaCap-8.