The End of Month Rotation – aka: Window Dressing…..
May 27, 2011 11:28 am
Take a look at the rotation change over the past week or so. Apparently, the weakest sectors are coming up and the strongest are starting to roll over. This is a classic move into month/quarter end. Unless something changes drastically, we would expect that the trend back to the defensive names could continue into the late summer.
First, here are today’s S&P 500 sectors:
Next, the rolling 12-weeks sector leadership is illustrated. Notice the change most recently as the information technology sector has begun to regain some momentum…
(Click to enlarge)