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Registered investment advisor, macro, ETF investing
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The rally in equities has not only taken the S&P 500 to a new bull market high, but the index is also now just 9% below its all-time high. While the index is down 9% from its all-time high, it would need to rally nearly 10% from current levels to get back to that level. With that in mind, we recently looked to see how much each of the ten S&P 500 sectors would need to rally in order to trade to an all-time high.

The table below lists the all-time high for the S&P 500 and all ten of its sectors. For each sector, we list the high price, the year it was reached, the current price, and the percentage that the sector needs to rally to get back to that record high. Three S&P 500 sectors (Consumer Discretionary, Health Care, and Consumer Staples) have actually traded to new all-time highs this year. As a result, they don't need to see much of a gain before taking out those highs. Outside of those three sectors, though, the remaining seven sectors have a lot more work to do before getting back to new records. Industrials, Utilities, Energy, and Materials all hit their record highs in 2007 and 2008, and all four sectors need to rally between 19% and 24% before they see new highs. After that, the remaining three sectors all need to see triple-digit returns before they approach new highs.

The Technology sector hit its all-time high in 2000 at a level of 988.49. With the sector currently trading at a price of 493.3, it needs to rally 100.38% before reaching its record high. You have to go even further back before you reach the point where the Telecom Services sector hit its record high back in 1999. In order to party like its 1999 for Telecom Services, the sector needs to rally 118.16%. Finally, the all-time high for the Financials sector was relatively recent back in 2007, but its distance from an all-time high is further away than any other, as the sector needs to rally 143.07% before it reaches its record high.

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