Russell index change shows scope of market bloodshed
Few sector shifts in annual rebalancing despite stock plunge and volatility

By Sam Mamudi, MarketWatch

NEW YORK (MarketWatch) -- Despite market losses and volatility not seen since the 1930s, the widely followed rebalancing of the Russell Indexes will result in few sector adjustments and highlights investors' wholesale, across-the-board selling of stocks the past year.

Friday's annual reconstitution of the Russell 3000 Index, which covers about 98% of investible U.S. stocks, brings changes to sector weightings and the addition and deletion of companies from the broad-market benchmark. But the overall numbers don't reflect the extent of the chaos and panic felt by investors.

All the same, there are some noticeable changes to sector weightings this year. The hard-hit financial sector, for instance, will see its representation shaved in the wake of the credit crunch.

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