Since E-mini S&P Select Sector futures launched on March 15, 2011, their performance can be divided into two parts: For the first 3-½ years, the sectors moved higher in tandem with a strong positive correlation among them. Some went up more than others but until late 2014, they all went up. Since late 2014, the sectors have increasingly diverged, with technology, consumer discretionary, and health care dominating on the upside while energy, industrial, and materials underperformed (Figure 1), with a much weaker correlation among the sectors. So, what explains their relative performance? Why did they move almost in ... (full story)