Nasdaq's Wide Margin Over Dow Raises Questions About Market Outlook

The Nasdaq Composite is outperforming the Dow Jones Industrial Average by its widest margin since 1991, while the blue-chip gauge has erased its year-to-date gain. The tech-heavy index has exceeded the Dow by more than 17% year-to-date through May 16, while the Dow is still in the red for the year. Investors have piled into a handful of megacap technology stocks, overshadowing weakness in other corners of the stock market. The 10 largest stocks in the S&P 500 accounted for 87% of the index’s gains during the first quarter, indicating how concentrated the US stock market has become.