US stocks, on the whole, are doing relatively well despite persistent worries over rising inflation. That said, as the country’s vaccination continued to progress rapidly — more than half of its population have now received one dose while over 40% have been fully vaccinated — stocks that benefit most from economic reopening are faring better than high-growth tech stocks. As we have discussed before, the latter group of stocks will see a bigger negative impact from rising interest rates — if higher-than-expected inflation forces the US Federal Reserve to tighten sooner — as more of their earnings are in the future. As a result, we saw the Dow Jones Industrial Average, up 1.9% in May 2021, outperforming the techheavy Nasdaq Composite, which fell 1.5%. The broader Standard & Poor’s 500 index was up 0.5% over the same period.

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