U.S. equity markets began 2026 with a cautious tone as investors engaged in widespread profit-booking following stellar returns over the past three years. This trend is evident in the shift of institutional money away from high-flying Big Tech stocks towards more defensive sectors like utilities and healthcare. While the Dow Jones managed minor gains today, the tech-heavy Nasdaq struggled under selling pressure, indicating that markets are now prioritizing value and stability over aggressive growth in the new year.
