NKE vs XLY: Correlation
How closely do Nike, Inc. (NKE) and Consumer Discretionary Select Sector SPDR Fund (XLY) trade together? Their weekly returns over three years give a correlation of 0.38, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are NKE and XLY?
On 3 years of weekly data the NKE/XLY correlation comes out at 0.38, moderate. Recent behaviour matches the longer record: 0.41 over 1 year against 0.38 over 3. The 5-year figure is 0.49, and annualized covariance runs at 274.4 %².
By 3-year correlation, XLY places #19 of the 33 assets tracked against NKE. Correlation aside, the last 12 months split them widely, with XLY ahead by 49.3 points (-49.4% versus -0.1%). On a rolling one-year basis the correlation drifted between 0.16 and 0.49, a moderate band. One caveat on sizing: NKE is 1.9 times as volatile as the other leg, so an equal-dollar split is far from equal-risk.
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.
NKE vs XLY: side by side
| NKE (Nike, Inc.) | XLY (Consumer Discretionary Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | -49.4% | -0.1% |
| 5-year return | -75.2% | +31.8% |
| Volatility (ann.) | 36.6% | 19.7% |
| Beta vs S&P 500 | 0.93 | 1.15 |
| Max drawdown (3Y) | -66.9% | -26.0% |
| Market cap | $57.0B | – |
| P/E (trailing) | 18.4 | – |
| Dividend yield | 4.22% | 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 | NKE | XLY |
|---|---|---|
| 2022 | -29.0% | -36.3% |
| 2023 | -6.0% | +39.6% |
| 2024 | -29.1% | +26.5% |
| 2025 | -13.8% | +7.4% |
| 2026 | -38.7% | -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 NKE at a 1.15% weight, which makes a slice of this correlation mechanical rather than coincidental.
Are NKE and XLY good diversifiers for each other?
Reasonably. At 0.38, NKE and XLY keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
FAQ
What is the correlation between NKE and XLY?
As of 2026-08-27, the correlation of weekly returns between NKE and XLY is 0.38 over 3 years, 0.41 over 1 year and 0.49 over 5 years.
Is XLY a good diversifier for NKE?
Reasonably. At 0.38, NKE and XLY keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
What does a correlation of 0.38 mean?
Correlation ranges from −1 to +1. Values near +1 mean two assets move together, near 0 that they move independently, and negative values that they tend to move in opposite directions. It measures co-movement, not performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/nke-vs-xly.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/nke-vs-xly/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: NKE correlations · XLY correlations
