11 sectors are rotating · 0 stable
All 11 SPDR S&P 500 sectors register as rotating this scan — an unusually broad reading driven by SPY's -1.6% 30-day slide (2026-06-04 → 2026-07-02) against a +4.9% window one year prior. That backdrop mechanically flips relative-strength signs for most sectors, but the underlying story is clean: money is fleeing the AI-semi complex and rotating into rate-cut beneficiaries (Utilities, REITs, Staples), late-cycle defensives (Health Care), and regional banks. Health Care shows the largest magnitude flip — XLV RS went from -3.3pp to +9.3pp — and biotech (XBI +20% in 30d, +$11.9B net 10-day money flow) is the single most surprising component. Semis (SMH -$12.9B outflow) is the most decisive rejection. Energy joins Tech and Communication Services as turning-negative sectors; OIH -18% signals capitulation in oilfield services. The pattern is a coordinated risk-on-tech to defensive/rate-sensitive re-rating that has clearly started but is not yet a headline.
Health Care
XLVHealth Care is the largest RS swing in the scan, from -3.3pp underperformance a year ago to +9.3pp leadership now. The bid is bifurcated: mega-cap pharma benefits from the classic late-cycle defensive rotation, while biotech is being repriced by resumed M&A activity and multiple FDA approvals. XBI +20% and IBB +14% in 30 days tell the biotech story cleanly. GLP-1 obesity franchise validation continues to pull incremental capital. Net money flow into XBI alone was +$11.9B over 10 sessions — decisive institutional accumulation, not retail chase.