S&P Gaining On EEM

Since March 7th, EEM has been much stronger than the S&P 500. The red line is a ratio line of S&P vs EEM and the line has been sloping downward indicating that the S&P has been weaker than EEM.

If you look at what our market has down since April 16th you will see that the S&P has rallied nicely while EEM has gone nowhere. That is why the ratio line has turned upward indicating that the S&P is becoming stronger than EEM over the last 2 weeks.

I'm not exactly sure what this means but I did find it interesting to see money moving into the S&P while EEM is taking a breather. I guess we'll find out in the days to come if this has any meaning or not.