In light of today’s sell off, I thought it might be worthwhile to look at how various sectors have been performing since QE2 began (all charts courtesy of The Chart Store)

click for larger charts

Category: Data Analysis, Economy, Markets

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

6 Responses to “Sector Performance Since QE2”

  1. Super-Anon says:

    LOL “Free markets”.

  2. rktbrkr says:

    Just eyeballing it but it looks like oil went from 80 to 110 and it’s back down to about 95 now (not at the pumps, gotta love those inventory profits)

    looks like investors are taking their QEII profits before the curtain falls.

    QEII ginned up securities and commodities but didn’t touch jobs or RE

    On deck…QEIII with a different name and slanted to save the TBTF from RE armegeddon

  3. nofoulsontheplayground says:

    In 2007 the BKX peaked in July, 3-months prior to the October peak in the major indices.

    Although the BKX made a lower recovery high in February 2011, the XLF did make its post 2009 recovery high almost 3-months prior to the May 2011 highs in the broader market.

  4. icm63 says:

    The rally in defensive stocks of such a large magnitude always is a warning flag that funds are pricing is a serious correction

    See third chart

  5. gordo365 says:

    Could someone please post charts of how these sectors will perform over the next 12 months?
    Thank you :)

  6. Sechel says:

    Very interesting on several levels.
    One that financials have not performed better as they are supposed to be a prime beneficiary of ZIRP & QE2
    Two that it was only a short while ago you were arguing that the market was going up despite fundamentals
    Third that energy was the top sector a beneficiary of Fed induced “inflation”?

    If I understand one of the “BUY” arguments it was that QE2 would see money displaced from bonds go into stocks and people should get out in front of the trade. Perhaps the money went into commodities instead. In either case, John Hussman & Jeremy Grantham are arguing rather persuasively that the market is over-valued. Ten year has also come down quite a bit suggesting a possible bet on an economic slowdown.