Source: https://mochatrade.com/learn/glossary/sector-etf

# Sector ETF
URL: https://mochatrade.com/learn/glossary/sector-etf
Last modified: 2026-10-17

A sector ETF holds one of the eleven GICS sectors, like XLE for energy, XLF for financials or XLK for technology. A number about the economy [never reaches a stock directly, it reaches a sector](https://mochatrade.com/learn/us-market-structure/how-us-stock-prices-form), so on a CPI night you watch [which sectors take the surprise worst](https://mochatrade.com/learn/us-market-structure/us-inflation-explained) through these tickers. [Energy led all eleven on the day the Dow lost 400 points](https://mochatrade.com/blog/crude-oil-war-and-slippery-slopes).

## Related terms

- CPI: https://mochatrade.com/learn/glossary/cpi
- GICS sectors: https://mochatrade.com/learn/glossary/gics-sectors
- US ETF: https://mochatrade.com/learn/glossary/us-etf
- Cyclical vs defensive stocks: https://mochatrade.com/learn/glossary/cyclical-vs-defensive-stocks
- Growth vs value stocks: https://mochatrade.com/learn/glossary/growth-vs-value-stocks
- PPI: https://mochatrade.com/learn/glossary/ppi