Energy & Utility Outperformance "Head Scratcher" Amid Massive ORCL Rally

Market Overview - The S&P 500 is currently up, while other indices are down, indicating a mixed market sentiment [1] - A potential area of resistance was identified at 655, which was tested but subsequently faded [2] - The current trading level around 6520 is crucial for support, with 6510 as the next level if a failure occurs [3] Sector Performance - Utilities outperformed the tech sector, which is notable given the strong performance of Oracle and semiconductors earlier in the day [5][6] - Constellation Energy (CEG) saw a significant increase of around 6%, contributing to the utilities sector's strength [5] - Despite Oracle's earlier gains of over 40%, the tech sector did not maintain its lead over utilities, raising questions about market dynamics [6][8] Volatility and Economic Indicators - Volatility is increasing ahead of the upcoming CPI report, suggesting a defensive positioning among investors [8][12] - The market is bracing for the CPI report, with expectations that it will reflect the aggressive PPI data from the previous month [12][13] - The 10-year Treasury yield is being closely monitored, with a key support area identified at 3.97% [15] Technical Analysis - The market has been in a descending channel, indicating bearish trends, but a break above 6530 could lead to a potential squeeze [5] - Current volume levels are average, with no strong indications of a market breakdown or broad enthusiasm [12] - Weekly charts for utilities and industrials are showing potential bearish setups, which could impact future performance [10]