Sector ETF Week In Review For May 6-10
- Sector performance over the last three months shows an aggressive, risk-on investment philosophy.
- Performance over the last month and week indicates a more defensive tone.
- The ratios of three defensive sectors (XLU, XLP, and XLV) relative to SPY is low, giving credence to the argument that traders will start to accumulate them.
Let’s begin with a look at the three-month performance table, which takes us back to mid-February.
This is a very bullish, risk-on performance table. Technology leads, rising 12.41; consumer discretionary is up 9.86. With the exception of healthcare (off marginally), all sectors are up.