S&P 500 slips more than 8% for June; energy & materials biggest losers

Diego Thomazini/iStock via Getty Images

The S&P 500 on Thursday ended more than 8% lower for June, and has now closed in the red for four of the six months in 2022 so far. The benchmark index shed 8.4%, and with it the SPDR S&P 500 Trust ETF (NYSEARCA:SPY) also slid 8.6%. The ETF is -20.6% YTD, and is on track for its worst yearly performance since 2008 if the losses hold.

See below a breakdown of the eleven sectors of the S&P 500 and their monthly performance. Additionally, see how the accompanying SPDR Select Sector ETF performed from the close on May 31st to the close of June 30th.

#1: Health Care -2.8%, and the Health Care Select Sector SPDR ETF (XLV) -3%.

#2: Energy -17%, and the Energy Select Sector SPDR ETF (XLE) -18%.

#3: Consumer Staples -2.9%, and the Consumer Staples Select Sector SPDR ETF (XLP) -3.1%.

#4: Utilities -5.1%, and the Utilities Select Sector SPDR ETF (XLU) -5.7%.

#5: Real Estate -7.5%, and the Real Estate Select Sector SPDR ETF (XLRE) -7.6%.

#6: Materials -14.1%, and the Materials Select Sector SPDR ETF (XLB) -14.4%.

#7: Financials -11.1%, and the Financial Select Sector SPDR ETF (XLF) -11.3%.

#8: Industrials -7.5%, and the Industrial Select Sector SPDR ETF (XLI) -7.8%.

#9: Communication Services -7.7%, and the Communication Services Select Sector SPDR Fund (XLC) -9.8%.

#10: Consumer Discretionary -10.9%, and the Consumer Discretionary Select Sector SPDR ETF (XLY) -11%.

#11: Information Technology -9.4%, and the Technology Select Sector SPDR ETF (XLK) -9.5%.

Below is a chart of the eleven sectors' year-to-date performance and how they have fared against the S&P 500.

Comments

[mlisacpa]

I have no doubt an oil glut is coming, but not for a while. High prices are here to stay through the northern hemisphere winter. So inflation will stick around and the Fed will have to face up to the limitation of their sole policy tool: interest rate driven recession. Counterproductive. Energy supply alone can make the Russian boogeyman go away. Midterm elections will be a shouting match between the Right complaining about a jobs recession and the Left complaining about Civil Rights. Call it a coin toss even odds.

[BillJK1]

OPEC+ is now over 3 million barrels per day below their production quota, as of June 2022. With oil over $100 this is not voluntary; they are maxed out from a production capacity standpoint already. They were 2.7 million bpd below their quota in May 2022, and missed it by an additional 400,000 bpd in June, accomplishing an actual increase of only 20,000 barrels, putting them over 3 million bpd behind. US shale is NOT coming to the rescue this time. And Russia war resolution cannot fix it; the problems are 10 years of global underinvestment, not Putin, no matter what Sleepy Joe says. The anti-fossil fuel movements chickens are coming home to roost. Prepare for $200 oil.

[katmandu100]

Good data and commentary.

[chrave1956]

We are saving Ukraine and climate change …. Everyone, Please sacrifice.

[chrave1956]

Consider us lucky … 800% slip if Donald Trump was lawfully elected.

[SivBum]

Month of June this year, almost as bad as The Great Recession since 1950:

2008 -8.55% Great Recession/housing bubble

2022 -8.4% Putin war/inflation

1962 -8.18% Cuban Crisis

2002 -7.25% Dot.com, 9/11 recession

1950 -5.75% Post WWII recession/inflation