The US S&P 500 is at record highs. It has gained 8.4% for the year through August. This is among the best performers among the major markets. Spain's IBEX 35 has performed nearly as well, and Italy's FTSE Milan Index has trailed fractionally. However, Canada's Toronto Stock Index is easily the best performer in the G7, gaining almost 15% year-to-date.
Drilling down into the US equity performance, there is a great graphic from the Macromon blog. It shows the best performing ETF sectors in August and year-to-date.
(click to enlarge)
In August, perhaps aided by the continued decline in US bond yields, utility ETFs did best. Energy ETFs may be have been dragged down by the decline in oil prices. They were the worst performers.
Consumer staples and discretionary sector ETFs did well. We are concerned that the composition of US growth may shift away from consumption in H2. The