Funds: What's hot, what's not

February's top-performing fund categories have turned sour in March as the market continues to weigh earnings, Europe and interest rates.

Funds that use futures and options to goose returns in commodities soared 9.8% in February, but those funds change direction faster than a weather vane in a tornado. From the end of February through March 9, leveraged commodity funds lost 8.3%, according to Morningstar, the Chicago fund trackers.

Similarly, funds that leverage stock returns gained 9.4% in February, but have given back 3.3% in March.

The categories with the sturdiest gains in February:

• Financial funds, up 6.3% for the month, and 0.1% through March 9.

• Health care, up 5.1% in February and 0.7% in early March.

• Large-company growth, up 6.4% in February and down 0.6% in March.

Most of February's big losers stayed in the doghouse, however. Funds that trade volatility futures plunged 18.0% in February and shed another 1.6% in early March. Precious metals funds got hammered for a 5.4% loss in February and got flattened by another 4.0% in March.

So far this year, the best-performing categories have been health care, up 9.1%, India, up 8.9% and Japan, up 8.3%. Worst: Volatility funds, down 14.9%, followed by Latin America funds, down 10.2%.