BKNG vs XLY: Correlation
How closely do Booking Holdings (BKNG) and Consumer Discretionary Select Sector SPDR Fund (XLY) trade together? Their weekly returns over three years give a correlation of 0.63, which is strong.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are BKNG and XLY?
On 3 years of weekly data the BKNG/XLY correlation comes out at 0.63, strong. Recent behaviour matches the longer record: 0.59 over 1 year against 0.63 over 3. The 5-year figure is 0.65, and annualized covariance runs at 362.4 %².
In BKNG's tracked universe of 39 assets, XLY sits right near the top at #1. Over the last 12 months XLY came out ahead by 9.0 percentage points (-9.1% against -0.1%). Stability stands out here, with the rolling one-year correlation confined to 0.55 through 0.74.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
BKNG vs XLY: side by side
| BKNG (Booking Holdings) | XLY (Consumer Discretionary Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | -9.1% | -0.1% |
| 5-year return | +127.1% | +31.8% |
| Volatility (ann.) | 29.1% | 19.7% |
| Beta vs S&P 500 | 1.11 | 1.15 |
| Max drawdown (3Y) | -33.4% | -26.0% |
| Market cap | $152.2B | – |
| P/E (trailing) | 23.2 | – |
| Dividend yield | 0.77% | 0.78% |
| Expense ratio | – | 0.08% |
| Assets under management | – | $22.5B |
| Sector / category | Consumer Discretionary | Sector ETF |
XLY is a Consumer Cyclical fund from State Street Investment Management: $22.5B under management, 47 holdings, a 0.08% expense ratio, a 0.78% trailing dividend yield.
Year-by-year returns
| Year | BKNG | XLY |
|---|---|---|
| 2022 | -16.0% | -36.3% |
| 2023 | +76.0% | +39.6% |
| 2024 | +41.3% | +26.5% |
| 2025 | +8.6% | +7.4% |
| 2026 | -5.0% | -2.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
Keep in mind that XLY holds BKNG at a 4.04% weight, which makes a slice of this correlation mechanical rather than coincidental.
Are BKNG and XLY good diversifiers for each other?
Somewhat, no more. With 0.63 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between BKNG and XLY?
As of 2026-08-27, the correlation of weekly returns between BKNG and XLY is 0.63 over 3 years, 0.59 over 1 year and 0.65 over 5 years.
Is XLY a good diversifier for BKNG?
Somewhat, no more. With 0.63 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.63 mean?
A reading of 0.63 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
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Related comparisons
Hubs: BKNG correlations · XLY correlations
