In the three weeks since the launch of this column, the market outlook has shifted from correction to rally and then rally under pressure. Commodity-related groups such as energy, agriculture and mining continue to crowd to the front of the list of industry groups.
Two of four medical groups fell from the top 20. Makers of ethical drugs and medical systems and equipment are still hanging on, but barely. Also losing ground and possibly headed for the door: foreign telecom services. Diversified Operations inched up two notches.
The recent correction showed no favors to groups traditionally considered defensive. Still, two groups new to the top ranks in the past three weeks are defensive holdouts.
Pollution Control-Services is a collection of trash haulers and medical and hazardous waste-management firms. The Chemicals-Basic group is headed by Dow Chemical and PPG, which provide the solvents, coatings and compounds needed in every corner of the economy.
But the values of both industry groups have declined for the year. Losses have been especially harsh the past three weeks.
Both groups have advanced through the ranks simply by falling more slowly than their peers.
Another group gaining ground by losing less is Transportation-Rail. Its outlook is buoyed by links to the coal, grain and fertilizer markets.
Last but not least, Oil & Gas-Canadian Exploration and Production climbed to the top ranks under its own power. The group -- with strong ties to natural gas, Canadian tar sands oil and international oil production -- is up 10% for the year and 8% over the past three weeks.Investor's Business Daily
