S&P futures drop
The market is obsessed with tech and the problem with betting on tech is that it's a bet on what the future looks like, and the future is very tough to predict. So you're left in an extremely vulnerable position where the earnings path can vary wildly from quarter to quarter; and the market multiple is completely disconnected.
So yesterday Microsoft posted very strong earnings and that helped to kick of a 49 point rally in the S&P 500 (and a 3% rise in the Nasdaq). Today after hours, Amazon and Google had some hiccups and everything has come undone. S&P 500 futures are down 30 points, giving up two-thirds of today's gain and setting up some pain on Friday.
Where I ultimately think the market is going is away from tech and towards either value or something safer but how it gets there is going to be a rocky road.
