WY vs XLB: Correlation
Measured on weekly returns over the past three years, Weyerhaeuser (WY) and Materials Select Sector SPDR Fund (XLB) carry a correlation of 0.65, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are WY and XLB?
On 3 years of weekly data the WY/XLB correlation comes out at 0.65, strong. The past 12 months show a weaker link (0.50) than the 3-year average (0.65). The 5-year figure is 0.66, and annualized covariance runs at 270.8 %².
Among the 44 assets we track against WY, XLB ranks #13 by 3-year correlation. Correlation aside, the last 12 months split them widely, with XLB ahead by 23.7 points (-6.1% versus +17.6%). Across three years, the rolling one-year figure varied moderately, from 0.51 to 0.79.
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.
WY vs XLB: side by side
| WY (Weyerhaeuser) | XLB (Materials Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | -6.1% | +17.6% |
| 5-year return | -19.5% | +36.9% |
| Volatility (ann.) | 24.8% | 16.7% |
| Beta vs S&P 500 | 0.64 | 0.72 |
| Max drawdown (3Y) | -38.0% | -23.2% |
| Market cap | $17.1B | – |
| P/E (trailing) | 36.5 | – |
| Dividend yield | 3.49% | 1.68% |
| Expense ratio | – | 0.08% |
| Assets under management | – | $8.3B |
| Sector / category | Real Estate | Sector ETF |
XLB is a Natural Resources fund from State Street Investment Management: $8.3B under management, 26 holdings, a 0.08% expense ratio, a 1.68% trailing dividend yield.
Year-by-year returns
| Year | WY | XLB |
|---|---|---|
| 2022 | -20.4% | -12.3% |
| 2023 | +18.0% | +12.5% |
| 2024 | -16.6% | +0.1% |
| 2025 | -13.0% | +9.9% |
| 2026 | +1.8% | +18.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are WY and XLB good diversifiers for each other?
Somewhat, no more. With 0.65 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between WY and XLB?
As of 2026-08-27, the correlation of weekly returns between WY and XLB is 0.65 over 3 years, 0.50 over 1 year and 0.66 over 5 years.
Is XLB a good diversifier for WY?
Somewhat, no more. With 0.65 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.65 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/wy-vs-xlb.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/wy-vs-xlb/)
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Related comparisons
Hubs: WY correlations · XLB correlations
