This was a short week owing to the rather soggy Memorial Day weekend. Despite the weekend rainout it was still nice to know the cycle of the seasons continued as Summer returned once again. For the week the S&P 500 ended up over 1%, hitting yet another record high and closing in on the next whole number milestone at 7600. It also took its weekly winning streak to 9, closing in on the 11-staright playoff wins by the Knicks. The equal-weight S&P modestly underperformed with many large cap tech names seeing big gains, but still managed to rise 1%. The Russell 2000 outperformed. A pull back in yields and oil were tailwinds for equities overall and especially for the small caps, which also saw big gains in thematic groups.

Tech was the big winner as the sector gained almost 5%. The NYSE 100 gained 4%, NYSE Semiconductor index gained 6%, IGV software ETF 8% and the DRAM memory ETF added 20%. That’s only its second biggest weekly gain since debuting two months ago. The gain includes South Korea’s SK Hynix jumping another 20% as it became the latest member of the trillion dollar market cap club.

Labor market data will be a key part of the calendar next week. The monthly non-farm payrolls will be out Thursday and ADP, Challenger cuts, initial claims and JOLTS data will preview that release. ISM PMIs will provide the latest broad look at the US economy. Most importantly, the Knicks will take the court in the NBA Finals. Have a great weekend.