Credit crunch

How US sectors performed during a credit crunch

Since Jan 3, 1983, the record reads this regime on 7.1% of trading days, across 168 episodes with a typical run of 2 sessions. Across those sessions since Dec 22, 1998, Information Technology did best at +46.4% a year and Energy did worst at -0.3%, against +31.6% for the S&P 500.

Figures as of Sep 23, 2026 · recomputed every trading day

The regime in the record

Share of trading days
7.1%
Separate episodes
168
Typical run
2 sessions
Longest run
207 sessions
Last seen
Apr 9, 2025
Today
Not in force

Sector by sector

Annualised mean return on the session after each regime day. Sorted by the regime figure.

AssetIn this regimeAll daysvs S&P 500Up sessionsVolatilitySessions
Communication Services XLCsince 2018+77.8%+12.3%+20.7%60%48.6%105
Information Technology XLK+46.4%+12.4%+19.3%53%46.4%584
Consumer Discretionary XLY+33.3%+10.4%+6.2%53%43.5%584
Financials XLF+31.8%+7.8%+4.7%51%69%584
Health Care XLV+26%+8.5%-1%52%32.5%584
Consumer Staples XLP+20.4%+5.3%-6.6%54%27.6%584
Materials XLB+18.6%+8.5%-8.5%54%45.9%584
Industrials XLI+16.5%+9.4%-10.6%54%42.2%584
Utilities XLU+5.7%+5.4%-21.4%54%37.3%584
Energy XLE-0.3%+10.2%-27.4%54%58.2%584
Real Estate XLREsince 2015-9.9%+5%-52.7%53%51.7%131

Context

AssetIn this regimeAll daysvs S&P 500Up sessionsVolatilitySessions
S&P 500 SPY+31.6%+10.2%—54%40.5%622
Nasdaq 100 QQQsince 1999+50.5%+13.4%+23.4%54%45.5%584
Russell 2000 IWMsince 2000+14.1%+9.8%-11.3%54%46.7%577
Long Treasuries TLTsince 2002-4%+1%-17.4%48%21.6%547
Gold GLDsince 2004+0.3%+11.7%-14%48%27.8%534

How this regime is defined

Credit conditions read stressed or distressed while liquidity reads stressed.

Method and limits

Descriptive statistics over the published regime record — not a backtest, a forecast or advice. Each regime day is credited with the NEXT session's return, so a regime never earns the move that revealed it. Returns are ETF price returns (dividends excluded), annualised as 252 × the mean session return; volatility likewise. Sector funds start in December 1998 (Real Estate in 2015, Communication Services in 2018); the regime record starts in 1980. Labels are the engine's as currently published and are recomputed when its method improves. A figure with fewer than 60 sessions is not shown.

This page's data as JSON

Questions

Which sectors did best during a credit crunch?
Information Technology +46.4%, Consumer Discretionary +33.3%, Financials +31.8%. Annualised mean next-session returns since Dec 22, 1998; the S&P 500 returned +31.6%.
How common is this regime, and how long does it last?
It appears on 7.1% of trading days since 1983, in 168 separate episodes. The typical run is 2 sessions; the longest lasted 207 sessions.
Is this regime in force today?
No. It was last seen Apr 4, 2025 – Apr 9, 2025. The daily nine-axis reading is on the Regime Radar.
Is this a backtest?
No. It describes how assets behaved on the session after each day the regime was read, with no portfolio, costs or selection. A backtest would test a rule; this records a history.