Daily Review & Preview: September 8, 2025
U.S. markets closed the previous trading session with a mixed but mostly quiet tone as investors digested a surprisingly weak August jobs report. The report, which showed the addition of only 22,000 jobs, fell far short of expectations and fueled speculation that the Federal Reserve may be forced to cut interest rates sooner than anticipated. The S&P 500 (IVV) ticked down slightly by -0.27%, reflecting the market’s uncertainty. While a slowing labor market raises economic concerns, the prospect of more accommodative monetary policy provided a counterbalance, leading to a day of consolidation.
| Key Market Performance | ||
|---|---|---|
| Index/Asset | Ticker | 1-Day % Change |
| S&P 500 | IVV | -0.27% |
| S&P Small Cap 600 | IJR | +0.31% |
| Developed ex-U.S. | EFA | +0.45% |
U.S. Size & Style
A clear divergence emerged across market capitalizations. Mid-caps (IJH +0.49%) and small-caps (IJR +0.31%) outperformed their large-cap peers, suggesting a modest risk-on rotation into more cyclically sensitive areas of the market. Small-cap value (IJS +0.62%) had a particularly strong showing, while large-cap growth (IVW -0.09%) lagged.
| Ticker | Name | 1-Day % Change |
|---|---|---|
| Top 2 Performers | ||
| QQQJ | Invesco NASDAQ Next Gen 100 ETF | +1.09% |
| VBK | Vanguard Small-Cap Growth ETF | +1.09% |
| Bottom 2 Performers | ||
| RVER | Trenchless Fund ETF | -1.66% |
| KOOL | North Shore Equity Rotation ETF | -1.37% |
U.S. Sectors & Industries
Rate-sensitive and defensive sectors led the market, likely benefiting from the drop in bond yields. Real Estate (XLRE) was the standout performer, gaining +1.01%. Materials (XLB) also showed strength with a +0.70% advance. On the other end, cyclical sectors tied to economic growth expectations lagged significantly. Energy (XLE) was the worst performer, tumbling -1.93%, followed closely by Financials (XLF), which fell -1.83%.
| Sector | 1-Day % Change |
|---|---|
| Real Estate | +1.01% |
| Materials | +0.70% |
| Communication Services | +0.53% |
| Health Care | +0.34% |
| Consumer Staples | +0.29% |
| Technology | +0.08% |
| Consumer Discretionary | -0.02% |
| Utilities | -0.31% |
| Industrials | -0.37% |
| Financials | -1.83% |
| Energy | -1.93% |
Global Thematic
Thematic ETFs saw dramatic divergence. Green energy and technology-enabling themes soared, with the Global X Lithium & Battery Tech ETF (LIT) rocketing +7.53%. In stark contrast, themes tied to traditional energy infrastructure, such as the Alerian MLP ETF (AMLP), fell -0.77%, mirroring the weakness in the broader energy sector.
| Ticker | Name | 1-Day % Change |
|---|---|---|
| Top 2 Performers | ||
| LIT | Global X Lithium & Battery Tech ETF | +7.53% |
| TAN | Invesco Solar ETF | +4.81% |
| Bottom 2 Performers | ||
| AMLP | Alerian MLP ETF | -0.77% |
| ENFR | Alerian Energy Infrastructure ETF | -0.69% |
Developed Markets ex-U.S.
International developed markets generally outperformed their U.S. counterparts, posting modest gains. The broad iShares MSCI EAFE ETF (EFA) rose +0.45%, with strength seen in markets like New Zealand and Sweden.
| Ticker | Name | 1-Day % Change |
|---|---|---|
| ENZL | iShares MSCI New Zealand ETF | +1.68% |
| EWI | iShares MSCI Italy ETF | -0.38% |
Emerging Markets
Emerging markets displayed notable strength, with the iShares MSCI Emerging Markets ETF (EEM) climbing +1.20%. Gains were powered by strong rallies in South Africa (EZA +2.39%) and China (MCHI +1.74%), while markets like Turkey experienced losses.
| Ticker | Name | 1-Day % Change |
|---|---|---|
| EZA | iShares MSCI South Africa ETF | +2.39% |
| TUR | iShares MSCI Turkey ETF | -1.19% |
Fixed Income
The fixed income market reacted directly to the weak labor data. Investors flocked to the safety of long-term government bonds, pushing prices higher and yields lower. The iShares 20+ Year Treasury Bond ETF (TLT) gained +1.52%. Meanwhile, the high-yield corporate bond market (HYG) was relatively unchanged, up a slight +0.05%.
| Category | Ticker | 1-Day % Change |
|---|---|---|
| Government Long-Term | SPTL | +1.36% |
| Corporate Intermediate | SPIB | +0.24% |
| Taxable High Yield | HYG | +0.05% |
Commodities
It was a tale of two markets in commodities. Precious metals rallied on the back of lower rate expectations, with gold (GLD) advancing +1.33%. In contrast, energy prices fell sharply on concerns of slowing economic demand, with WTI crude oil (USO) declining -2.09%.
| Ticker | Name | 1-Day % Change |
|---|---|---|
| GLD | SPDR Gold Shares | +1.33% |
| USO | United States Oil Fund LP | -2.09% |
Cryptocurrency
The digital asset space saw broad-based gains, bucking the uncertainty seen in traditional equity markets. Bitcoin (IBIT) rose +1.72% and Ethereum (ETHA) climbed +1.46%, indicating continued investor interest in the asset class.
| Ticker | Name | 1-Day % Change |
|---|---|---|
| IBIT | iShares Bitcoin Trust | +1.72% |
| ETHA | iShares Ethereum Trust ETF | +1.46% |
What to Watch Today
The key event on today’s calendar is the release of the **NY Fed’s Survey of Consumer Expectations**. Following Friday’s soft jobs number, the market’s attention has pivoted squarely to inflation. This report’s data on consumer inflation expectations will be critical. If consumers anticipate inflation will remain high, it could complicate the Federal Reserve’s ability to cut rates, even with a weakening labor market. Conversely, a lower inflation expectation figure would bolster the case for monetary easing, likely providing a tailwind for both equities and bonds. Investors will scrutinize this release for any clues about the future path of inflation ahead of the official CPI report later this week.
For a deeper dive into the data, access today’s full Daily ETF Data Pack.
Disclosures
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.
