How Did the Consumer Sector Fare Last Week?



What went on in the consumer sector from June 11 to 15

The positive sentiments that drove the consumer sector’s performance last week have continued this week as well. Both consumer staples and consumer discretionary companies’ stocks had an impressive week.

However, a few sectors in the S&P 500 didn’t enjoy a good week, as we can see in the chart above. Thus, the S&P 500 Index (SPY) only saw a slight rise of 0.02%.

The consumer staples sector reported a rise of 1.9%, and the consumer discretionary sector saw a rise of 2.2%. Homebuilders’ stocks took a hit after the Fed announced another rate hike in last week’s meeting. The Fed approved a quarter-point increase at the meeting and indicated that two more rate hikes could be expected this year.

The second-quarter earnings season has begun. As per a June 15 Factset report, the blended earnings growth rate for the S&P 500 for the second quarter is expected to be ~19.0%.

Consumer sector ETFs had a good week

Consumer sector–based ETFs continued their positive performances this week as well—except for the retail sector ETF. While the Consumer Discretionary Select Sector SPDR ETF (XLY) enjoyed a rise of 2.0% and the Consumer Staples Select Sector SPDR ETF (XLP) rose 1.4%, the SPDR S&P Retail ETF (XRT) fell 0.38% last week.

More From Market Realist