There’s been almost no stopping this sector for nearly two solid years as tech leadership remains firm regardless of the market cycle. This group wraps up August with a nearly 12% gain, topping all other S&P sectors during the month.

Last week’s sharp drop in yields matched the behavior we saw earlier this year in May - a head fake followed by a quick snapback. While an outright interest rate cap by the Fed appears to be off the table for now, there’s a clear preference by the central bank to keep interest rates as low as possible for an indefinite period of time.

It’s a relatively small bounce at this point, but the strong rebound in cyclical sectors last week is worth watching. A steeper yield curve certainly helps banks here and the financial sector could lead the market higher if the U.S. economy is able to execute a steady recovery.