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Market Movements and XLI

R
Apr 12, 2025 · 04:32

I understand in this current market few things make sense, as between 10% jumps at a truth social post and 5% gains with no good news, the market isn't following normal fundamentals. However, when we look at most stocks over the past week they all follow a very similar pattern. Someone pointed to me that this is likely the cause of algorithmic trading, which makes sense to me. What I don't understand is why some stock that have rebounded far better than others with no discernable reason. For instance NVDA has rebounded really well this week, which I find shocking given the state of similar competitors, as well as the tensions with China. Meanwhile, it seems like stocks in the XLI, like CAT, are still down quite a lot. Which strikes me as odd, as they tend to have few major competitors and as such I would think less impacted by the tarriffs. I'm hoping someone much more savvy and smart can explain why this is the case? Is it fear of a winding down of construction due to a recession? Or am I just too stupid to be putting any money in the stock market?