NYSEARCA:XLI

Industrial Select Sector SPDR Fund (XLI)

183.87
-0.04 (0.02%)
as of Jul 2, 2026, 10:57:59 pm Market Open.
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Investor Insights
star iconJul 6, 2026, 12:00 am

This summary was created by AI, based on 3 opinions in the last 12 months.

Experts express a positive outlook on the Industrial Select Sector SPDR Fund (XLI) due to the ongoing cyclical economic rebound, highlighting opportunities in emerging markets and in geopolitical regions such as Europe and Japan. The fund is recognized as a cost-effective entry point into the industrial sector, particularly appealing due to its low expense ratio of 8 basis points. The recent geopolitical events, such as those occurring in Venezuela, indicate a longer-term push towards infrastructure development, which could benefit both multinational and U.S.-based companies within this sector. Additionally, industry veterans see major corporations like Honeywell (HON), General Electric (GE), and Boeing (BA) as key beneficiaries, especially with solid economic performance in the U.S. and a lack of recessionary pressures. As a positive note, the fund has entered a historically strong seasonal period, which generally lasts from late October to early May, further enhancing its appeal.

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Consensus
Positive
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Valuation
Fair Value
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CAT,241
PAST TOP PICK

(Top Pick Oct 25/13, Up 5.80%) Does well from Oct until end of December and then end of Jan until May. He exited at end of December. Back in Now.

PAST TOP PICK

(A Top Pick Nov 18/13. Up 3.69%.) Period of seasonal strength for industrials runs from October 28 to May 5. With materials, there can be a bit of volatility so he has stepped out of this right now. Looking to get back in more towards February. February to May would be the next seasonal run.

BUY

US industrials ETF? This is the one he would recommend.

TOP PICK

The strongest sector in the US for the month of December is the industrial sector. Seasonality is from October 28 to the end of December, takes a bit of a break in January and then takes off again from February to May. Technically, the chart shows that it is currently outperforming the market, trending higher and above its 20 day moving average.

TOP PICK

His Top Picks are not “Buy & Holds”. They are Seasonal Picks so there is an exit strategy. Industrials tend to gain between October 28 and May 5th generally. There is a weak period in January. This has had an average gain of 13% over the past 20 years. Technicals are positive with higher highs and higher lows and above major moving averages.

TOP PICK

Industrial seasonals basically are very similar to the S&P 500. Has the same seasonal starts, runs into the end of the year and then has another seasonal from January into April. Basically for the next 5 months, it tends to outperform.

BUY

[XLI-N or XLF-N] It depends on what happens with QE and bank regulations. Industrials should have less volatility than financials over 1 year. Over 5 years financials should do better.

COMMENT

Doesn’t know if he cares for this ETF so much (See Top Picks) but loves the sector. This one has about 24% aerospace and defence which is a pretty heavy weighting. It is about 12%-4.5% G General Electric (GE-N).

PAST TOP PICK

(Top Pick Mar 18/13, Up 3.52%)

BUY

It broke a 2-year wall of resistance earlier this year. It is having a little area of consolidation, which is normal. Doesn’t look bad.

PAST TOP PICK

(A Top Pick Oct 31/12. Up 13.97%.) Did extremely well in October, November, December and into January. It was a strong market and participated in that.

TOP PICK

Sweet spot started a week ago – beginning of March until May, average gain is about 6%. Holding above major moving averages. The numbers have backed the trend recently.

TOP PICK

Industrial sector tends to do well, basically up until the end of the year, takes a little bit of a pause and then tends to do well until May. On average it is about 6.4% until the end of the year 82% of the time.

PAST TOP PICK
(A Top Pick Oct 27/11. Up 8.51%.) A seasonal selection. October was the time to get into the industrial sector and now is the time to get out. Sold his holdings in December.
TOP PICK
This is a good time for industrials. From a technical basis. You are looking for it to get to $39.10. We have broken through our resistance point. A lot of the stocks came out with very strong earnings and the sector will do very well in general.
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