Stocks made big gains yesterday, the big NASDAQ Composite in particular making new multiyear highs as buyers charged into equities to start the week. But one corner of the market has quietly been outperforming the rest — and no, it’s not technology. I’m talking about the “commodity stocks,” basic materials sector names with outsized exposure to the commodity markets. Typically, commodity-centric names tend to have low correlations with the rest of the broad market, but not in 2014. Instead, materials names are just magnifying the S&P 500’s gains this year.
So far, the S&P has managed to climb 7.19% higher since the start of the calendar year — but the basic materials sector has basically done double, climbing 14.34% over that same stretch. Even better, there are still some big trading opportunities in materials right now………………………………………..Full Article: Source