Macro Overview
The market experienced a significant divergence in performance during the previous session. A major announcement from a leading semiconductor firm regarding its next-generation AI accelerator chip—a breakthrough promising significant leaps in processing power and energy efficiency—ignited a rally in the technology sector, pushing the broader market to a modest gain. The S&P 500, tracked by IVV, closed up 0.29% for the day. This enthusiasm, however, was not universally shared, as international developed markets finished flat and defensive sectors lagged. The mixed performance highlights investor sensitivity to specific industry catalysts while broader caution persists ahead of key inflation data.
U.S. Size & Style
Large-cap growth stocks were the clear leaders, with the Large Growth index (IVW) gaining 0.94%, starkly contrasting the -0.49% decline in its value counterpart (IVE). This momentum-driven rally, which saw momentum factor ETFs (MTUM) rise 2.39%, was concentrated in the largest names. Meanwhile, small-caps (IJR -0.25%) and mid-caps (IJH -0.05%) failed to participate, indicating a narrow market advance.
| Name | Ticker | 1-Day % Change | 1-Month % Change | 3-Month % Change | YTD % Change | 1-Year % Change |
|---|---|---|---|---|---|---|
| Large Growth | IVW | +0.94% | 3.07% | 11.48% | 16.73% | 31.97% |
| Large Blend | IVV | +0.29% | 2.38% | 8.50% | 12.04% | 20.49% |
| Mid Growth | IJK | -0.05% | 3.88% | 6.94% | 5.68% | 11.26% |
| Mid Blend | IJH | -0.05% | 4.62% | 6.79% | 5.61% | 12.43% |
| Small Value | IJS | -0.13% | 7.80% | 10.14% | 1.81% | 9.75% |
| Mid Value | IJJ | -0.17% | 5.37% | 6.58% | 5.24% | 13.33% |
| Small Blend | IJR | -0.25% | 6.07% | 7.83% | 2.77% | 9.31% |
| Small Growth | IJT | -0.33% | 4.42% | 5.65% | 3.74% | 8.56% |
| Large Value | IVE | -0.49% | 1.56% | 5.09% | 6.63% | 6.77% |
U.S. Sectors & Industries
Sector performance painted a classic “risk-on” picture within specific pockets of the market. Technology was the standout winner, surging 1.81%, with Semiconductors (XSD) gaining 0.92%. The Energy sector (+1.75%) also had a strong showing, led by a significant 2.75% rally in Oil & Gas Equipment & Services (XES). On the other end, defensive sectors like Consumer Staples (-0.98%) and Health Care (-0.91%) lagged, with Health Care Equipment (XHE) being a notable weak spot, dropping 2.26%.
| Sector | 1-Day % Change | 1-Month % Change | 3-Month % Change | YTD % Change | 1-Year % Change |
|---|---|---|---|---|---|
| Technology (XLK) | +1.81% | 1.59% | 12.34% | 16.57% | 29.29% |
| Energy (XLE) | +1.75% | 4.92% | 5.64% | 5.71% | 8.11% |
| Utilities (XLU) | +1.72% | -1.81% | 5.37% | 13.36% | 13.05% |
| Industrials (XLI) | +0.74% | 0.35% | 5.30% | 15.57% | 19.91% |
| Materials (XLB) | +0.19% | 2.67% | 2.53% | 8.86% | 1.85% |
| Real Estate (XLRE) | -0.05% | 1.48% | 0.01% | 4.50% | -3.73% |
| Financials (XLF) | -0.34% | 2.53% | 4.47% | 10.76% | 21.27% |
| Communication Services (XLC) | -0.74% | 6.49% | 9.72% | 19.03% | 37.77% |
| Health Care (XLV) | -0.91% | 5.51% | 1.70% | 0.69% | -10.33% |
| Consumer Staples (XLP) | -0.98% | -3.08% | -1.56% | 2.92% | -1.98% |
| Consumer Discretionary (XLY) | -1.20% | 4.06% | 7.82% | 4.29% | 25.49% |
Global Thematic
Thematic ETFs displayed extreme divergence. Crypto Miners (WGMI) soared 7.12% and Next-Gen Connectivity (SIXG) jumped 2.95%, highlighting a strong appetite for disruptive tech themes. In stark contrast, Cannabis-focused ETFs plummeted, with AdvisorShares Pure US Cannabis ETF (MSOS) losing over 7%, showcasing the high-beta and sentiment-driven nature of these strategies.
| Ticker | Name | 1-Day % Change |
|---|---|---|
| WGMI | CoinShares Bitcoin Mining ETF | +7.12% |
| TREK | Pacer Data and Digital Revolution ETF | +5.86% |
| STCE | Schwab Crypto Thematic ETF | +5.19% |
| BKCH | Global X Blockchain ETF | +5.00% |
| BAI | iShares A.I. Innovation and Tech Active ETF | +3.85% |
| ARKG | ARK Genomic Revolution ETF | -3.24% |
| MJ | Amplify Alternative Harvest ETF | -3.36% |
| REMX | VanEck Rare Earth and Strategic Metals ETF | -4.19% |
| CNBS | Amplify Seymour Cannabis ETF | -6.04% |
| MSOS | AdvisorShares Pure US Cannabis ETF | -7.37% |
Developed Markets ex-U.S.
International developed markets were largely flat, masking significant regional differences. South Korea (EWY) was a notable outperformer, rallying 2.31%, with defense industry stocks leading the charge. Conversely, Germany (EWG) faced headwinds, declining by nearly 1%, and Austria (EWO) was the region’s biggest laggard, down 1.32%.
| Name | Ticker | 1-Day % Change | 1-Month % Change | 3-Month % Change | YTD % Change | 1-Year % Change |
|---|---|---|---|---|---|---|
| South Korea | EWY | +2.31% | 4.29% | 15.86% | 50.62% | 28.11% |
| Australia | EWA | +0.82% | 1.80% | 3.04% | 15.35% | 9.96% |
| Hong Kong | EWH | +0.46% | 2.90% | 11.28% | 32.79% | 43.62% |
| Japan | EWJ | +0.37% | 3.12% | 9.65% | 20.73% | 19.00% |
| Canada | EWC | +0.30% | 4.39% | 9.51% | 23.45% | 27.48% |
| ex-U.S. | EFA | -0.02% | 2.22% | 4.59% | 24.29% | 18.77% |
| U.K. | EWU | -0.02% | 2.99% | 5.67% | 25.65% | 19.11% |
| France | EWQ | -0.37% | 0.52% | 1.53% | 22.27% | 14.21% |
| Netherlands | EWN | -0.61% | 2.42% | -0.11% | 22.52% | 15.24% |
| Switzerland | EWL | -0.71% | 3.77% | 1.81% | 23.32% | 10.68% |
| Germany | EWG | -0.99% | -3.00% | -0.88% | 31.20% | 32.07% |
Emerging Markets
Emerging markets posted solid gains, led by strength in Indonesia (EIDO +1.58%) and Taiwan (EWT +1.53%). However, the broader index was held back by pronounced weakness in China-focused health care ETFs, where funds like KURE dropped 4.45%, contributing to the headline China index (MCHI) falling 0.68%.
| Name | Ticker | 1-Day % Change | 1-Month % Change | 3-Month % Change | YTD % Change | 1-Year % Change |
|---|---|---|---|---|---|---|
| Indonesia | EIDO | +1.58% | -2.80% | -5.54% | -3.70% | -17.99% |
| Taiwan | EWT | +1.53% | 3.77% | 12.11% | 20.87% | 27.17% |
| South Africa | EZA | +1.19% | 5.81% | 10.56% | 44.20% | 39.94% |
| Brazil | EWZ | +0.85% | 7.12% | 9.42% | 34.75% | 9.31% |
| India | INDA | +0.85% | 2.00% | -3.80% | 0.99% | -6.12% |
| Emerging | EEM | +0.68% | 4.25% | 9.34% | 24.42% | 26.08% |
| Mexico | EWW | +0.03% | 4.28% | 6.66% | 39.78% | 32.38% |
| Malaysia | EWM | 0.00% | 2.69% | 5.87% | 4.79% | 2.53% |
| Thailand | THD | -0.07% | 3.72% | 15.64% | 2.00% | -4.82% |
| China | MCHI | -0.68% | 7.48% | 13.39% | 34.76% | 59.14% |
Fixed Income
The fixed income market saw a bid for duration ahead of key inflation data. Long-duration municipal bonds (MLN) were the top performers, gaining 0.70%, closely followed by long-term government bonds (SPTL) at 0.56%. At the other end of the spectrum, bank loans (BKLN) ended the day slightly lower, down 0.05%.
| Category | Ticker | 1-Day % Change | 1-Month % Change | 3-Month % Change | YTD % Change | 1-Year % Change |
|---|---|---|---|---|---|---|
| Municipal Long | MLN | +0.70% | 3.25% | 4.36% | -0.82% | -1.55% |
| Government Long | SPTL | +0.56% | 3.06% | 5.74% | 6.22% | -5.09% |
| Emerging USD | EMB | +0.55% | 2.37% | 5.87% | 10.73% | 9.12% |
| Municipal High Yield | HYD | +0.52% | 3.35% | 3.51% | 0.48% | 0.25% |
| Taxable Long Term | BLV | +0.49% | 3.20% | 6.16% | 7.18% | -2.01% |
| Municipal Intermediate | MUB | +0.40% | 2.27% | 3.39% | 1.70% | 0.96% |
| Preferred Stock | PFF | +0.22% | 2.80% | 6.42% | 5.95% | 4.22% |
| Mortgage Backed | MBS | +0.20% | 2.22% | 4.38% | 6.93% | 2.91% |
| Taxable Core | AGG | +0.20% | 1.85% | 3.91% | 6.39% | 2.71% |
| Government Intermediate | SPTI | +0.17% | 1.54% | 3.52% | 6.82% | 3.23% |
| Emerging | EMLC | +0.16% | 1.21% | 4.11% | 14.43% | 9.47% |
| Inflation Protected | TIP | +0.15% | 1.55% | 4.11% | 7.26% | 4.45% |
| Taxable Core Enhanced | IUSB | +0.15% | 1.79% | 3.91% | 6.44% | 3.27% |
| Convertible | CWB | +0.15% | 3.88% | 8.27% | 13.91% | 22.14% |
| International USD | BNDX | +0.12% | 0.47% | 0.86% | 2.60% | 2.88% |
| Taxable Multisector | PYLD | +0.11% | 1.67% | 4.00% | 7.40% | 7.44% |
| International | IGOV | +0.09% | 0.80% | 1.45% | 11.01% | 3.50% |
| Corporate | SPIB | +0.09% | 1.42% | 3.53% | 6.66% | 5.36% |
| Taxable High Yield | HYG | +0.07% | 1.25% | 3.13% | 6.81% | 8.20% |
| Municipal Short | SUB | +0.06% | 0.57% | 1.82% | 3.25% | 3.53% |
| Taxable Short-Term | BSV | +0.03% | 0.88% | 2.31% | 4.80% | 4.14% |
| Taxable Ultrashort | BIL | +0.01% | 0.37% | 1.07% | 2.93% | 4.42% |
| Government Short | SPTS | 0.00% | 0.64% | 1.77% | 3.77% | 3.90% |
| Bank Loans | BKLN | -0.05% | 0.59% | 1.93% | 4.27% | 7.21% |
Commodities
Commodities were a mixed bag, with Carbon Allowances (KCCA) being a significant outlier, surging 6.56%. Precious metals also showed strength, with Palladium (PALL) gaining 3.53%. In the energy complex, crude oil advanced while Natural Gas (UNG) continued its slide, falling sharply by 2.87%.
| Name | Ticker | 1-Day % Change | 1-Month % Change | 3-Month % Change | YTD % Change | 1-Year % Change |
|---|---|---|---|---|---|---|
| Palladium | PALL | +3.53% | 4.99% | 10.80% | 28.78% | 20.83% |
| Brent Crude Oil | BNO | +1.84% | 2.98% | 6.36% | 1.60% | 12.21% |
| WTI Crude Oil | USO | +1.80% | 1.92% | 4.34% | -1.11% | 11.57% |
| Platinum | PPLT | +1.26% | 4.49% | 13.81% | 52.40% | 46.66% |
| Gasoline | UGA | +0.84% | 5.15% | 7.91% | 3.25% | 15.82% |
| Copper | CPER | +0.71% | 2.02% | -7.72% | 12.60% | 10.49% |
| Silver | SLV | +0.62% | 7.25% | 12.58% | 42.08% | 44.22% |
| Agriculture | DBA | +0.41% | 3.82% | 0.52% | 2.33% | 15.67% |
| Precious Metals | DBP | +0.39% | 6.83% | 9.63% | 36.83% | 43.29% |
| Gold | GLD | +0.36% | 7.09% | 9.31% | 38.46% | 44.12% |
| Broad Commodities | DJP | +0.32% | 3.48% | 1.73% | 8.29% | 17.52% |
| Sugar | CANE | 0.00% | -2.75% | -4.76% | -7.17% | -6.27% |
| Industrial Metals | DBB | -0.15% | 1.63% | 6.36% | 5.62% | 11.04% |
| Soybeans | SOYB | -0.45% | 4.03% | 0.27% | 2.05% | 0.14% |
| Wheat | WEAT | -0.48% | -3.72% | -8.81% | -14.11% | -19.46% |
| Corn | CORN | -0.63% | 2.52% | -4.38% | -6.93% | -2.10% |
| Natural Gas | UNG | -2.87% | -2.42% | -19.80% | -23.38% | -8.46% |
Cryptocurrency
Digital assets showed broad strength, moving higher alongside the tech-led rally in equities. Solana (SOLZ) was a top performer among the major assets, gaining nearly 2.5%, while Bitcoin also posted a solid gain of over 2%.
| Name | Ticker | 1-Day % Change | 1-Month % Change | 3-Month % Change | YTD % Change | 1-Year % Change |
|---|---|---|---|---|---|---|
| Solana | SOLZ | +2.49% | 22.15% | 29.74% | N/A | N/A |
| Bitcoin | IBIT | +2.07% | -2.42% | 3.60% | 21.64% | 95.55% |
| Multi-Coin | NCIQ | +1.61% | -1.19% | 10.01% | N/A | N/A |
| Ethereum | ETHA | +0.69% | 6.20% | 55.57% | 29.30% | 81.06% |
What to Watch Today
The main event on today’s economic calendar is the release of the Consumer Price Index (CPI) for August at 8:30 AM ET. CPI measures the change in prices paid by consumers for a basket of goods and services and is the most widely followed measure of inflation. Investors will be scrutinizing the report for signs that inflationary pressures are either persisting or abating, as it heavily influences the Federal Reserve’s monetary policy decisions. A “hotter” than expected number could reignite fears of a more aggressive Fed, potentially pressuring both stocks and bonds. Conversely, a “cooler” print would bolster the narrative that inflation is under control, which could provide a significant tailwind for the market.
For a deeper dive into the data, access today’s full Daily ETF Data Pack.
This material is for informational purposes only and should not be considered investment advice. All investments, including ETFs, involve risk, including the possible loss of principal. Investors should consider their investment objectives, risks, charges, and expenses carefully before investing.
This analysis was developed by the team at ETF Action. We leverage advanced AI tools to assist in the drafting and refinement of our content, based on our expert prompts, direction, and final review.
