Market update: The technology sector (XLK)

The technology sector (XLK) has been very strong on a relative basis since the middle of 2013 and just recently that relative strength reappeared. Check out the longer-term absolute performance of the XLK and how it's performed relative to the S&P 500:

From the price low in the summer of 2011, the XLK has been performing very well.  But it didn't began outperforming the S&P 500 until July 2013 and that relative outperformance is shown above with the blue line.  There have been several industry groups within technology that have helped lead the group at various times, but currently that leadership role certainly belongs to semiconductors.