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Tech stocks struggled in July. Will the volatility around the AI trade continue in August?

The chip slide has created a buying opportunity for momentum investors. But there’s more to momentum than tech and AI.

The chip slide has created a buying opportunity for momentum investors. But there’s more to momentum than tech and AI.

Market concentration has turned most S&P 500 index funds into a quiet bet on a handful of AI mega-caps, and one overlooked ETF is already outperforming in 2026 for a structural reason most investors ignore.

Investing.com -- Societe Generale told clients in a note Friday that market leadership has rotated from Materials and Staples earlier this year toward Energy, Technology and Healthcare, with the firm maintaining a preference for equal-weight exposure as the broadening trade continues into the second half of 2026.

The Dow finally closed above the 52,000 the same day its newest member joined a rally in Big Tech and chip stocks. Alphabet, which replaced Verizon in the Dow this week, led the index. “This month has been VERY volatile — some of the swings have been outright historic, and in the moment, honestly a bit unsettling,” writes Mizuho’s Daniel O’Regan.

The case for owning the SPDR S&P 500 ETF Trust (NYSEARCA:SPY) has always been simple: cheap, liquid, and the default proxy for U.S. equities. The problem in 2026 is that SPY no longer behaves like a diversified bet on 500 companies. Roughly a third of the cap-weighted index sits in a handful of Magnificent Seven ... Forget the Magnificent Seven. This Equal-Weight S&P Fund Beats the Mega-Caps for Just 0.20%

Markets remain volatile, but rising forecasts suggest opportunities for long-term ETF investors.

A mega-IPO is about to land in a market already running hot, and one Wall Street strategist sees it as the catalyst that forces investors to broaden their bets. Carol Schleif, Chief Market Strategist at BMO Wealth Management, told CNBC this week that the SpaceX IPO on Friday will pull capital out of the year’s ... Wall Street Strategist: SpaceX Will Force a Major Stock Market Repositioning. Buy These Stocks Instead.

The choice between the Invesco S&P 500 Equal Weight ETF (NYSEARCA:RSP) and the SPDR S&P 500 ETF Trust (NYSEARCA:SPY) looks trivial on a fund screener. You have the same 500 companies, both tracking the S&P 500, and both are cheap. The weighting scheme is the entire story, as SPY’s cap-weighted holdings allocate 7.58% of the ... RSP vs. SPY: Does Equal Weight Beat the Cap-Weighted S&P 500?

The Invesco S&P 500 Equal Weight ETF, which counts every S&P 500 stock as if they were the same size, is up just 2.7% this month. Instead, it’s been big gainers like Micron Technology, Intel, Sandisk, Advanced Micro Devices, and Dell Technologies that have helped lead the S&P 500.

The S&P 500's high concentration risk underscores the role that the better-diversified Invesco Equal Weight ETF can play in conservative investors’ portfolios.

<p>The S&P 500 is now up around 2% on a year-to-date basis.</p>