Growth stocks continuing to lead market

In December 1998 growth stocks outperformed value like never before. In December 1999 the market outdid even that with IT hardware up 27% relative to the All Share. That month proved especially strong because investors could foresee a tightening of rates in the first quarter of 2000 and wished to offload economically sensitive stocks. At the same time, lack of liquidity made pricing reality paper-thin and exacerbated any movements. The traditional first quarter cyclical rally has become the 'closing of the value gap' and seems an almost cathartic cleansing for the excesses for the final q...