Macro Overview
U.S. markets tumbled on Thursday in a broad, tech-led sell-off, marking one of the worst trading days since the spring. The Nasdaq composite plunged 2.3%, while the broad market benchmark S&P 500 (IVV) sank -1.63%. The move was driven by mounting concerns over a potential “AI bubble” and investor anxiety that the Federal Reserve may not deliver expected interest rate cuts in December.
U.S. Size & Style
The risk-off sentiment was evident across all U.S. market caps and styles. Growth segments were hit hardest amid the tech rout, with Large Growth (IVW) falling -2.22% and Mid Growth (IJK) down -2.35%. Small caps also underperformed, with the Small Cap (IJR) declining -2.13%.
| Name (Ticker) | 1-Day % Change | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Large Value (IVE) | -0.95% | 1.03% | 2.81% | 4.31% | 11.42% | 6.14% |
| Large Cap (IVV) | -1.63% | 0.16% | 1.38% | 4.53% | 15.80% | 13.98% |
| Large Growth (IVW) | -2.22% | -0.55% | 0.12% | 4.63% | 19.46% | 20.25% |
| Mid Value (IJJ) | -1.43% | -0.43% | 0.02% | -0.25% | 3.54% | -0.43% |
| Mid Cap (IJH) | -1.86% | -0.91% | -0.23% | -0.23% | 4.20% | -0.37% |
| Mid Growth (IJK) | -2.35% | -1.50% | -0.54% | -0.32% | 4.46% | -0.73% |
| Small Value (IJS) | -2.13% | -0.24% | 1.62% | 2.71% | 2.68% | -1.86% |
| Small Cap (IJR) | -2.13% | -0.85% | 0.32% | 0.51% | 2.57% | -3.22% |
| Small Growth (IJT) | -2.19% | -1.54% | -0.92% | -1.80% | 2.37% | -4.76% |
U.S. Sectors & Industries
It was a sea of red for U.S. sectors, with 9 of 11 GICS sectors finishing lower. The tech sell-off hammered Technology (XLK) (-2.49%) and Consumer Discretionary (XLY) (-2.50%), which was dragged down by poor earnings from Disney. The only sectors to escape losses were Energy (XLE), which finished up 0.25%, and Consumer Staples (XLP), which was flat. Standout sub-sectors included a -4.56% drop in Semiconductors (XSD) and a -4.12% fall in Metals & Mining (XME).
| Sector (Ticker) | 1-Day % Change | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Energy (XLE) | +0.25% | 1.05% | 4.75% | 6.55% | 8.25% | -1.07% |
| Consumer Staples (XLP) | 0.00% | 0.80% | -0.67% | -5.78% | 0.24% | -1.82% |
| Health Care (XLV) | -0.05% | 4.52% | 7.60% | 15.12% | 12.50% | 5.87% |
| Materials (XLB) | -0.66% | 2.04% | -0.75% | -3.29% | 5.59% | -3.64% |
| Financial (XLF) | -1.29% | 0.38% | 0.61% | 0.75% | 10.75% | 8.00% |
| Real Estate (XLRE) | -1.31% | -1.07% | -0.20% | -0.51% | 2.70% | -2.55% |
| Utilities (XLU) | -1.38% | -1.13% | -2.43% | 3.24% | 19.60% | 16.49% |
| Communication Services (XLC) | -1.42% | -0.16% | -1.68% | 1.09% | 16.64% | 16.47% |
| Industrials (XLI) | -1.55% | -0.87% | 0.36% | 0.10% | 16.53% | 8.48% |
| Technology (XLK) | -2.49% | -0.54% | 0.50% | 6.95% | 23.82% | 22.54% |
| Consumer Discretionary (XLY) | -2.50% | -1.64% | -0.80% | 1.11% | 4.08% | 7.13% |
Global Thematic
Thematic ETFs reflected the day’s deep divides. Crypto-related themes were decimated, with the CoinShares Bitcoin Mining ETF (WGMI) plummeting -12.07%. On the bright side, battery-related themes bucked the trend, as the Global X Lithium & Battery Tech ETF (LIT) gained 2.21% after positive analyst comments on lithium miners.
| Top 5 Performers (Name / Ticker) | 1-Day % Change |
|---|---|
| Global X Lithium & Battery Tech ETF (LIT) | +2.21% |
| VanEck Rare Earth and Strategic Metals ETF (REMX) | +1.51% |
| KraneShares Electric Vehicles & Future Mobility Index E.. (KARS) | +0.53% |
| Alerian MLP ETF (AMLP) | +0.06% |
| Tema Heart & Health ETF (HRTS) | +0.03% |
| Bottom 5 Performers (Name / Ticker) | 1-Day % Change |
| CoinShares Bitcoin Mining ETF (WGMI) | -12.07% |
| Global X Blockchain ETF (BKCH) | -11.60% |
| Schwab Crypto Thematic ETF (STCE) | -11.05% |
| VanEck Digital Transformation ETF (DAPP) | -9.90% |
| Bitwise Crypto Industry Innovators ETF (BITQ) | -9.40% |
Developed Markets ex-U.S.
International developed markets were also down, but held up slightly better than the U.S. The broad Dev ex-U.S. (EFA) benchmark fell -1.07%. Australia (EWA) was a notable laggard, dropping -2.41%, while France (EWQ) (-0.22%) and Switzerland (EWL) (-0.36%) showed more resilience.
| Country (Ticker) | 1-Day % Change | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Dev ex-U.S. (EFA) | -1.07% | 1.30% | 2.74% | 4.24% | 28.53% | 27.51% |
| Australia (EWA) | -2.41% | -1.89% | -2.70% | -3.60% | 10.37% | 4.97% |
| Canada (EWC) | -2.14% | 1.08% | 0.10% | 6.30% | 26.50% | 22.60% |
| France (EWQ) | -0.22% | 2.88% | 3.90% | 3.99% | 28.37% | 28.43% |
| Germany (EWG) | -1.03% | 1.90% | -1.27% | -2.67% | 31.78% | 34.22% |
| Hong Kong (EWH) | -1.08% | 2.74% | 8.48% | 6.17% | 40.33% | 37.76% |
| Japan (EWJ) | -1.58% | -0.34% | 4.69% | 4.72% | 24.71% | 25.47% |
| Netherlands (EWN) | -0.71% | 1.51% | 1.49% | 9.84% | 33.50% | 33.63% |
| South Korea (EWY) | -1.93% | 2.47% | 12.50% | 25.90% | 84.85% | 72.42% |
| Switzerland (EWL) | -0.36% | 3.79% | 3.16% | 6.73% | 28.27% | 23.90% |
| U.K. (EWU) | -1.08% | 0.40% | 2.50% | 4.06% | 29.56% | 29.60% |
Emerging Markets
Emerging markets also finished in the red, with the Emerging (EEM) index down -1.17%. Taiwan (EWT), a tech-heavy market, fell -2.17% as it mirrored the sell-off in U.S. tech. China (MCHI) posted a relatively small loss of -0.19%.
| Country (Ticker) | 1-Day % Change | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Emerging (EEM) | -1.17% | 0.70% | 2.77% | 8.77% | 32.60% | 30.57% |
| Brazil (EWZ) | -0.72% | 2.11% | 13.02% | 17.03% | 49.18% | 27.53% |
| China (MCHI) | -0.19% | 1.34% | 1.83% | 6.44% | 38.90% | 38.85% |
| India (INDA) | -0.66% | 0.84% | 2.32% | 2.83% | 2.96% | 2.49% |
| Indonesia (EIDO) | -0.87% | -1.35% | 4.04% | -2.92% | 1.58% | -6.67% |
| Malaysia (EWM) | -0.11% | 1.03% | 3.07% | 4.87% | 10.32% | 12.72% |
| Mexico (EWW) | -1.14% | -0.65% | 2.92% | 8.69% | 46.52% | 40.39% |
| South Africa (EZA) | -0.37% | 5.59% | 2.76% | 16.23% | 63.76% | 56.04% |
| Taiwan (EWT) | -2.17% | -0.96% | -0.88% | 4.85% | 23.63% | 22.19% |
| Thailand (THD) | -0.76% | -1.96% | 0.05% | 0.22% | 0.03% | -2.23% |
Fixed Income
Fixed income markets were broadly down as the 10-year Treasury yield rose to 4.12%, reflecting uncertainty over the Fed’s next move. The core Taxable Core (AGG) bond ETF fell -0.30%. Higher-risk convertibles were hit particularly hard in the equity sell-off, with Convertible (CWB) falling -2.61%.
| Category (Ticker) | 1 Day | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Taxable Core (AGG) | -0.30% | -0.08% | -0.17% | 1.75% | 6.74% | 6.56% |
| Taxable Core Enhanced (IUSB) | -0.30% | -0.17% | -0.05% | 1.79% | 6.90% | 6.84% |
| Taxable Multisector (PYLD) | -0.22% | 0.00% | 0.64% | 2.23% | 8.36% | 9.11% |
| Taxable Ultrashort (BIL) | +0.01% | 0.03% | 0.31% | 1.02% | 3.62% | 4.24% |
| Taxable Short-Term (BSV) | -0.10% | -0.04% | 0.07% | 1.08% | 5.28% | 5.85% |
| Taxable Long Term (BLV) | -0.68% | -0.13% | -0.91% | 2.49% | 7.16% | 5.48% |
| Government Short (SPTS) | -0.03% | -0.03% | 0.16% | 1.03% | 4.34% | 5.13% |
| Government Intermediate (SPTI) | -0.21% | -0.10% | -0.01% | 1.41% | 7.01% | 7.07% |
| Government Long (SPTL) | -0.70% | -0.07% | -0.69% | 2.94% | 6.58% | 4.88% |
| Inflation Protected (TIP) | -0.22% | -0.02% | -0.49% | 1.16% | 7.07% | 6.52% |
| Corporate (SPIB) | -0.18% | -0.03% | 0.04% | 1.35% | 7.03% | 7.32% |
| Taxable High Yield (HYG) | -0.41% | -0.16% | 0.20% | 0.95% | 7.01% | 7.02% |
| Bank Loans (BKLN) | -0.05% | 0.10% | 1.11% | 1.68% | 5.49% | 6.31% |
| Preferred Stock (PFF) | -0.93% | -0.55% | -1.09% | -0.49% | 3.65% | 0.81% |
| Convertible (CWB) | -2.61% | -3.06% | -4.05% | 4.33% | 15.98% | 14.37% |
| Mortgage Backed (MBS) | -0.37% | -0.25% | 0.04% | 2.39% | 7.54% | 7.41% |
| International USD (BNDX) | -0.24% | -0.06% | 0.08% | 0.96% | 3.28% | 4.07% |
| International (IGOV) | -0.05% | 0.38% | 0.26% | -0.63% | 10.07% | 8.29% |
| Emerging USD (EMB) | -0.49% | 0.01% | 1.22% | 3.31% | 12.67% | 11.89% |
| Emerging (EMLC) | +0.08% | 0.59% | 1.62% | 2.63% | 16.67% | 15.27% |
| Municipal Short (SUB) | +0.02% | 0.10% | -0.02% | 0.28% | 3.03% | 3.42% |
| Municipal Intermediate (MUB) | -0.17% | -0.03% | 0.43% | 3.67% | 3.30% | 3.30% |
| Municipal Long (MLN) | -0.20% | 0.06% | 0.26% | 5.71% | 1.75% | 2.31% |
| Municipal High Yield (HYD) | -0.20% | 0.02% | 0.34% | 4.13% | 1.54% | 1.69% |
Commodities
Commodities were mixed on Thursday. Precious metals fell as the dollar held firm, with Gold (GLD) down -0.81% and Silver (SLV) dropping -1.86%. In energy, WTI Crude Oil (USO) (+0.09%) was effectively flat, while Natural Gas (UNG) (+1.09%) continued to climb. Agriculture saw gains in Corn (CORN) (+1.35%).
| Commodity (Ticker) | 1-Day % Change | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Broad Commodities (DJP) | -0.43% | 2.32% | 4.55% | 11.73% | 16.64% | 20.47% |
| Energy (DBE) | -0.20% | -0.64% | 3.82% | 3.25% | 2.98% | 7.89% |
| WTI Crude Oil (USO) | +0.09% | -1.98% | -0.61% | -3.60% | -7.54% | -1.24% |
| Brent Crude Oil (BNO) | +0.38% | -1.17% | -0.31% | -1.74% | -3.91% | 0.42% |
| Natural Gas (UNG) | +1.09% | 6.16% | 21.59% | 19.44% | -11.90% | 4.96% |
| Gasoline (UGA) | +0.04% | 0.40% | 9.35% | 9.67% | 7.48% | 12.03% |
| Precious Metals (DBP) | -1.20% | 4.43% | 1.14% | 24.80% | 58.09% | 60.43% |
| Gold (GLD) | -0.81% | 3.95% | 1.26% | 23.82% | 58.13% | 61.12% |
| Silver (SLV) | -1.86% | 7.97% | 0.34% | 35.49% | 80.10% | 71.75% |
| Platinum (PPLT) | -2.62% | 2.09% | -3.18% | 17.55% | 72.91% | 67.54% |
| Palladium (PALL) | -3.18% | 2.78% | -3.62% | 25.55% | 55.66% | 51.74% |
| Industrial Metals (DBB) | -0.69% | 0.23% | 2.46% | 10.69% | 14.85% | 15.34% |
| Copper (CPER) | -0.76% | 1.92% | -1.04% | 11.84% | 24.24% | 21.92% |
| Agriculture (DBA) | -0.61% | 0.15% | -0.64% | -2.45% | -1.32% | 6.42% |
| Corn (CORN) | +1.35% | 2.84% | 6.10% | 8.75% | -2.66% | 0.77% |
| Soybeans (SOYB) | +1.11% | 2.42% | 9.87% | 7.43% | 10.38% | 10.02% |
| Wheat (WEAT) | 0.00% | 2.39% | 6.45% | 1.18% | -11.00% | -11.73% |
| Sugar (CANE) | -0.90% | 1.42% | -7.12% | -17.47% | -18.90% | -25.18% |
Cryptocurrency
Cryptocurrencies saw a sharp sell-off as part of the broader risk-off trade. Bitcoin (IBIT) fell -3.47%, while Ethereum (ETHA) tumbled -7.17%. Solana (SOLZ) was the worst performer, dropping -7.34%.
| Asset (Ticker) | 1-Day % Change | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Solana (SOLZ) | -7.34% | -13.13% | -32.34% | -33.07% | ||
| Ethereum (ETHA) | -7.17% | -8.59% | -25.61% | -33.31% | -5.34% | -0.29% |
| Multi-Coin (NCIQ) | -3.85% | -6.15% | -17.40% | -23.78% | ||
| Bitcoin (IBIT) | -3.47% | -5.59% | -15.53% | -20.40% | 4.79% | 8.91% |
What to Watch Today
Following the end of the 43-day government shutdown, the market is grappling with significant data uncertainty. While today’s economic calendar would typically feature key reports like Retail Sales and PPI, investors are now focused on when, or even if, delayed data will be released. The White House has indicated that some October reports, including crucial inflation and jobs figures, may never be published. This lack of visibility is creating major headwinds for investors and the Federal Reserve, making it much more difficult to gauge economic health and anticipate the Fed’s potential December interest rate decision.
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.
