Thursday, July 2, 2026

QNTM Post-Close Wrap — July 2, 2026

The QNTM model portfolio fell -2.58% today, badly trailing SPY's -0.13% — a rare gap versus benchmark for a 50-name book with conviction sitting at a neutral 55.6 (20.1% of the universe scored high-conviction).

What drove it: Concentration in Technology (15 of 50 holdings) was the culprit, averaging -6.98%, with Industrials (5 names) adding another -4.81% drag. Model laggards were dominated by memory/chip-equipment names: SNDK (-14.1%), KLAC (-11.5%), LRCX (-10.2%), WDC (-9.9%), and construction name STRL (-9.8%). This tracks a real rotation: investors continued to rotate out of high-flying semiconductor stocks, with SanDisk tumbling 10.6% and Applied Materials plummeting 10% , extending a second-day slide in the VanEck Semiconductor ETF, down 4.5%, led by declines in Teradyne and KLA . SNDK's drop reflected profit-taking after a huge run and investor anxiety over capacity-expansion announcements from Samsung and SK Hynix threatening a NAND supply glut . STRL's slide fits a broader valuation reset in stretched data-center/infrastructure names. Financials (JEF, ALL, VCTR) and Healthcare (DVA) partly offset losses.

Market recap: The S&P 500 fell 0.2% to 7,483.23, with tech the worst performer while communication services and financials led . ADP reported private payrolls rose just 98,000 in June, below the 110,000 consensus , while Fed Chair Kevin Warsh said inflation risks have eased substantially .

Next: Markets are closed July 3 for the holiday; watch Thursday's jobs report reaction on reopen.