This morning, we highlighted the recent performance of sector ETFs noting how Health Care has led the way higher rising the furthest above its 50-DMA. Consumer Discretionary (XLY), Technology (XLK), Materials (XLB), Communication Services (XLC), and Consumer Staples (XLP) each had also risen above their 50-DMAs. Given their outperformance, as shown in the table below, headed into today these were the sectors closest to their levels on the S&P 500’s last all time high on February 19th. The Health Care ETF (XLV) actually headed into today less than 2% away from its 2/19 levels and XLP was also under 10% away.
Today, that performance was turned on its head as some of the sectors that have been playing catch up outperformed while those that have been the outperformers recently underperformed. Whereas it has typically been the strongest sector, Health Care (XLV) actually fell the most dropping ~2%. On the other hand, Energy (XLE) rose over 2.1% and it even finally rose above its 50-DMA. Other areas of strength today included Financials, Industrials, and Materials which all finished up over 1%. Recent winners were the losers today while the recent laggards were today’s winners. Start a two-week free trial to Bespoke Institutional to access our full range or research and interactive tools.