Noticeable Divergence:
For those looking for income in a market, some feel is toppy, myself not included in that belief, many turn to the real estate and utility groups (the XLE does pay the largest dividend yield at 4.8% of all the major S&P sectors). Both the XLRE and XLU carry dividend yields above 3%. As many think of these names as “watching grass grow” or boring, remember the key in investing is making money, regardless of where it emanates from. And quite frankly these areas deserve a place in one’s portfolio. The XLRE is higher 8 of the last 10 weeks, and all advancers CLOSED at the TOP of the WEEKLY range, a very bullish characteristic. The two decliners with the weeks ending 5/7 and 5/14 both CLOSED well off the intraweek lows and each fell in the 1% neighborhood. This week the XLRE is doing the same thing up almost 3%, trailing only you guessed it, energy.