Sector Returns for 2008

Jan 27, 2008: 1:38 PM CST

Here we analyze the absolute returns of the nine major US Sectors of the US Stock Market and their performance (in percentage terms) so far for 2008:

All sectors lost money so far in 2008, with Technology (green bar) and Energy (black bar) losing the greatest amount to date.

Financials (-6%) and Consumer Discretionary (-5.6%) have shown the most relative strength.

In fact, when we look at a comparison chart where we examine how each sector has performed relative to the S&P 500 index, we find that these two sectors have outperformed the broader index by a 3% margin:

This is the same chart with the same 18 day period, only we are comparing price relative to the S&P 500.

Along with Consumer Discretionary and Financials, the Health Care sector almost marked a 3% relative gain.

Although one month is too short a time frame to gather deep insights from the sector rotation model, it would appear that the initial indications are slightly more bullish in the short term than bearish.

Let’s see what happens from here on!

2 Comments

2 Responses to “Sector Returns for 2008”

  1. Mike Says:

    if I may ask, how are you generating these rotation diagrams? thanks

  2. Mike Says:

    k, i take it back; just saw the logo in the corner 🙁