Back in August, we highlighted the historical sector weightings of the ten major sectors of the S&P 500. Since then, there have been some significant changes due to sector rotation. While Financials still rank as the top weighted sector, its weighting has dropped from 22.3% at the start of the year to its current level of 18%. This weighting is still above its average weighting of 15.6% since 1990. Consumer Discretionary has also fallen off significantly, and its weighting is at its lowest levels since 1990. It now ranks 7th on the list, which is hard to believe since it was the largest weighted sector in '92, '93 and '94. Energy is the one sector that has risen at the expense of other sectors. At the end of last year, Energy made up 9.8% of the S&P 500 and ranked 7th out of 10 sectors. It currently makes up 12.3% of the index and ranks 3rd.
Below we highlight the historical weighting of each sector as a percentage of the entire S&P 500. The red line represents the average since 1990.
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