The market rally had a strong week, but highly valued growth is "out of bounds," such as ARK stocks Tesla, Square and Coinbase.
All week long, the had been outperforming the That suggested that investors had finally gotten behind the notion that the economy really is booming and were ready to reward value stocks, the market’s cheapest and the biggest beneficiary of that growth. Futures on the Dow, the most economically sensitive major benchmark, slipped into the red, and Nasdaq futures were pointing to a gain of more than 1%, which made sense given it’s the least dependent on the economy for gains. By day’s end, the Nasdaq was up 0.9%, suggesting a lack of excitement following the early, knee-jerk reaction.
The stock market continued to move higher Friday, with the Dow Jones Industrial Average (DJINDICES: ^DJI) and S&P 500 (SNPINDEX: ^GSPC) rising to record closes. Stocks tracked by the S&P Midcap 400 Index are up 74% over the past year.