IHI

Despite a scare generated by the rollout of the Obama healthcare plan, the medical device sector continues to outperform the broader market. Since the beginning of the year, The Dow Jones U.S. Medical Devices Index Fund (IHI) is down only 5% comparing favorably to the S&P 500 (SPY) which was down 12% year-to-date as of Friday.

The Dow Jones US Medical Devices Index has steadily recovered from its low at the beginning of July. The performance continued last week as leading component Medtronic(MDT) issued a positive earnings report and confirmed guidance for the year.