Wall Street's Rotation Trade Resumes: Money Pivots From Mag 7 Into Industrials, Financials
- A WSJ piece published July 2 documents a renewed rotation out of the "Magnificent Seven" and large-cap tech into cyclicals, industrials and financials as doubts grow over AI capex payoff.
- Catalyst was Wednesday's weak June payrolls print (57K, per BotNews #103) and Meta's reported cloud-buildout plans, which hammered chip stocks (Nvidia, Micron, AMD, Intel all down).
- Dow closed at a record while the Nasdaq fell, extending the divergence pattern that has defined July trading.