So far, 2026 has been full of surprises.

Practically every sector of the stock market has been dealing with its own particular (and unexpected) set of challenges. Consumer goods stocks have been grappling with rising inflation. Energy stocks have been affected by the war in Iran. Tech stocks have been grappling with how to handle AI. And investors are wondering if there are any safe havens anymore.

Here’s which sectors have been leading the market, and, more importantly, which one is gaining momentum as we head toward the final days of May.

One big winner

By the end of March, the S&P 500 was down 4.6% year to date, and the major market sectors had already settled into three broad categories for the year: losers, modest gainers, and one big winner.

As measured by the performance of sector-specific SPDR ETFs, there were five losing sectors that had lost between 4.5% and 10% of their value in the first quarter of 2026: healthcare (down 4.6%), communication services (down 5.5%), consumer discretionary (down 8.1%), financials (down 9.7%), and most surprisingly, tech (down 6.3%).

Then there was a batch of five moderate performers, up between 1.5% and 11.5%: real estate (up 1.5%), consumer staples (up 4.9%), industrials (up 6%), utilities (up 8%), and materials (up 11.3%).

The big winner, though, was energy. The State Street Energy Select Sector SPDR ETF (NYSEMKT: XLE) was up 31.9% as of March 31, handily outperforming every other market sector for the year.

Tech rebounds

Not much changed in April except that tech stocks found their mojo again, shooting out of the “big loser” tier and up to the moderate tier. That momentum has continued into May, to the point that the State Street Tech Select Sector SPDR ETF (NYSEMKT: XLK) is up 22.3% for the year as of this writing.

Tech is now the second-best performing sector of 2026 behind energy (which now boasts a 34.5% return). Consumer staples, industrials, real estate, and materials are all clustered together vying for third place, with year-to-date returns of between 9% and 11%.

What’s next

While there’s no guarantee that tech’s resurgence will continue into the summer, it seems like a decent bet. Up 10.6% so far in May alone, it’s the only sector to outperform the S&P 500‘s 2.9% return so far this month. Energy’s strong start to the year seems to have stalled out: