U.S. stock gains are concentrated among a few AI leaders; institutions warn of a potential market turning point in June

Institutional data shows that the S&P 500 Index has recently hit successive new highs, but the rally has been driven primarily by a small group of leading AI stocks, resulting in a noticeable narrowing of market breadth. BTIG analyst Jonathan Krinsky noted that even if small- and mid-cap stocks rebound, a slowdown in the momentum of large-cap stocks would likely fail to prevent a pullback in the index—and he expects a potential turning point in market trends as early as June. Data reveals that the S&P 500 has recorded six consecutive trading days where the index closed higher while the number of declining stocks exceeded the number of advancing stocks—a rare occurrence.