Related: Resisting Biotech ETFs
Still, the biotechnology sector has been among this year’s worst performing areas of the market as investors shifted out of high-flying growth stocks in face of increasing market uncertainties for more value plays. IBB decreased 23.5% year-to-date.
“If sellers step forward and IBB/SPX breaks support, it would reflect new found downside leadership from this key sector, which could spill over into the broad markets,” adds Kimble.
For more information on the biotech sector, visit our biotechnology category.
iShares Nasdaq Biotechnology ETF