The S&P 500 is now up more than 11% off its February lows, and the index — along with seven of ten sectors — is now up on the year.  But one sector that has been totally left behind during this rally is a former market leader — Health Care.  As shown below, the sector remains down 8.2% year-to-date.  The Energy sector was the clear market laggard in both 2014 and 2015.  Health Care looks to be taking its place in 2016.

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Check out the chart below showing sector breadth levels as measured by the percentage of stocks trading above their 50-day moving averages.  The S&P 500 and nine of ten sectors now have 90%+ of stocks trading above their 50-days.  Those are absolutely massive readings.  But Health Care sticks out like a sore thumb with a reading of just 55.6%.  Clearly this is an area that investors are lightening up on or completely avoiding altogether as the former losers (Energy, Materials, Industrials) catch huge bids.

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