Sectors That Aren’t Tech: A (Slightly) Cynical Look

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Right. So, everyone’s been obsessed with tech, haven’t they? For, like, three years. Dragging the whole market up with it. Honestly, exhausting. But here’s the thing – I’ve been sniffing around for actual income, not just hype, and let me tell you, the script has flipped. It’s not about the shiny new toys anymore. It’s about…well, things that actually do something. And pay out. Don’t judge. A girl’s gotta build a nest egg, even if that nest is slightly chaotic.

Because 2026? It’s been surprisingly…un-techy. Energy, materials, and industrials are actually beating tech to the punch. I know, I almost didn’t believe it myself. Here’s the breakdown, because numbers are less…subjective than, say, my life choices:

  • Energy stocks, as measured by the State Street Energy Select Sector SPDR ETF (XLE 1.02%), are up 21.5% this year. Twenty-one point five. That’s…respectable.
  • Materials stocks, tracked by the State Street Materials Select Sector SPDR ETF (XLB 0.61%), are up 17.6%. Solid. Less flashy, but solid.
  • And industrials, via the State Street Industrial Select Sector SPDR ETF (XLI +0.43%), have climbed 12.3%. Not exactly a rocket ship, but a steady climb is… comforting.

Meanwhile, tech? Down 3%, measured by the State Street Technology Select Sector SPDR ETF. Ouch. It’s like watching your favorite, impeccably dressed friend trip and fall. Awkward. So, what’s going on? Well, a few things. And frankly, it’s a little bit delicious.

AI Fatigue? You Don’t Say.

Turns out, everyone got a bit…tired of AI. All that hype, all that money thrown at the Magnificent Seven…it was a bit much. They’re down 8.8% this year, as measured by the Roundhill Magnificent Seven ETF. Honestly, I was starting to think we were all collectively hallucinating. Now, investors are looking at things that, you know, actually build things. Like tractors and…construction equipment. It’s terribly unglamorous, but someone has to make the stuff, right? Even if the robots take over, they’ll need somewhere to be built, won’t they? Caterpillar and Deere are looking rather smug, I suspect.

And then there’s the energy sector. Oh, the energy sector. It’s soaring, partly because of…well, let’s just say geopolitical events. Apparently, capturing Venezuelan President Nicholas Maduro on January 3rd has made investors think Chevron and ExxonMobil might finally get access to Venezuela’s oil reserves. Nineteen point four billion barrels, people. That’s a lot of oil. And a lot of potential for…complications. But also, dividends. I’m focusing on the dividends. Rising U.S.-Iran tensions are also helping, naturally. It’s a messy business, but a profitable one, apparently.

The materials sector is also doing rather well, boosted by rebounding commodity prices and the demand for metals in all this AI infrastructure buildout. It’s all very circular, isn’t it? And a bit exhausting. Strong global growth is helping too, of course. Who knew basic materials could be so…in demand?

Energy stocks might stumble when people realize resurrecting the Venezuelan oil industry is, shall we say, a challenge. But materials and industrials? They feel like they have some runway left. Which means, if you’re looking for a place to park your money that isn’t…entirely dependent on the whims of Silicon Valley, State Street’s materials sector ETF and industrial sector ETF are worth a look. Don’t thank me. I just have a knack for finding the boringly reliable. And a healthy dose of cynicism.

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2026-02-20 19:35