Neil Dutta

So Neil, you said, we ran a one-year daily return correlation between every S&P 500 name and the semiconductor ETF, SMH.

15 non-tech S&P 500 companies, collectively worth $2 trillion in market cap, now move with semis at correlations of 0.5 or higher.

12 of these 15 are industrials, names like Vertiv, Eden, Caterpillar, Cummins, Hubel, Hubel, Hubel, Hubel?

Comfort Systems, I don't know a lot of these companies.

Whatever, you go on.

You say these are not tech stocks.

They trade like semis because their order books have become AI CapEx order books.

Caterpillar sells backup generator sets

and engines into hyperscaler data centers, Vertiv sells cooling and power management, Enon sells electrical components, and GE Vernova sells gas turbines for data center power.

This is kind of interesting.

The gig sector classification has not caught up with the economic exposure.

But inside the stock market, I was talking to ChartKid and Sean today.

So healthcare is breaking out.

It's been stuck in the mud for a while.

Industrials look awesome.

That's 20% of the S&P.

So for as much as people talk about, oh, it's just the max seven, Daniel, throw a chart 12 on.

This surprised me.

And I look at the market pretty damn closely, and I don't think I knew this.

Probably because they diverged like very recently.