Gold, real estate attractive as market rally likely wanes, expert says

May 16, 2026 - 05:02

U.S. stocks pulled back from record highs on Friday, ending a stretch of gains largely driven by companies tied to artificial intelligence. Just a day earlier, the S&P 500 had closed at an all-time high, but the numbers behind that milestone told a different story.

According to market expert Bennett, "two-thirds of the stocks in the S&P 500 were actually down" on that day. She also noted that "nine percent of the S&P 500 actually hit 52-week lows." Such narrow leadership is a red flag. When only a handful of stocks are carrying the entire market, it often signals the rally is "exhausted," Bennett explained. She added that this pattern "would be consistent with rates staying higher, the economy slowing, which is the environment that I think we're in."

Given this outlook, Bennett pointed to alternative areas for investment. "As far as areas to invest right now, I do think real assets are interesting - and real assets being more real estate itself, not necessarily a REIT," she said. She also highlighted precious metals, calling them "attractive in an environment like this." The suggestion is that as the broader market loses steam, tangible assets like physical property and gold could offer a safer haven for investors looking to protect their money.