Technology Rebounds Sharply, Leading Broad Equity Markets Higher

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Macro Overview

Global equity markets advanced, driven by a rebound in technology and strong performance in Asia. In the U.S., the S&P 500 (IVV) gained 0.88%, while international markets saw even stronger returns, with Developed ex-U.S. (EFA) up 1.45%. The standout performer was Emerging Markets (EEM), which surged 2.80%. In contrast, rising Treasury yields pushed the U.S. Aggregate Bond (AGG) index down 0.21%, while Broad Commodities (DJP) rose 1.46% amid geopolitical tensions.

U.S. Size & Style

A broad-based rally lifted all U.S. size and style segments, with a clear preference for growth and smaller-capitalization stocks. Mid-Cap Growth (IJK) led the advance with a 1.47% gain, followed closely by Large Growth (IVW) at 1.23%. Smaller companies also saw strong buying interest, as the Russell 2000 proxy Small Cap (IJR) rose 1.01%. Value-oriented funds also gained but lagged their growth counterparts across the cap spectrum.

Name (Ticker) 1-Day 1 Month 3 Month YTD 1 Year
Large Value (IVE) 0.36% 1.85% 5.33% 9.55% 18.79%
Large Cap (IVV) 0.88% 0.25% 6.60% 10.37% 20.45%
Large Growth (IVW) 1.23% -1.17% 7.59% 10.81% 21.51%
Mid Value (IJJ) 0.59% 1.83% 4.46% 12.83% 18.95%
Mid Cap (IJH) 1.05% -0.08% 4.10% 15.28% 21.69%
Mid Growth (IJK) 1.47% -1.84% 3.63% 17.44% 24.05%
Small Value (IJS) 1.01% 3.02% 7.98% 21.47% 36.26%
Small Cap (IJR) 1.01% 2.35% 8.83% 22.52% 33.04%
Small Growth (IJT) 1.15% 1.78% 9.62% 23.47% 29.86%

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U.S. Sectors & Industries

The Technology (XLK) sector was the unambiguous leader, climbing 2.89% on the back of a significant rebound in semiconductor and AI-related stocks. The Energy (XLE) sector also posted a solid 0.97% gain as crude oil prices rose amid geopolitical tensions in the Middle East. On the other end of the spectrum, defensive sectors lagged, with Consumer Staples (XLP) and Communication Services (XLC) being the only two sectors to finish in negative territory, down 0.94% and 0.69% respectively.

Name (Ticker) 1-Day 1 Month 3 Month YTD 1 Year
S&P 500 (SPY) 0.83% 0.21% 6.55% 10.32% 20.32%
Technology (XLK) 2.89% -5.46% 17.00% 25.87% 39.13%
Energy (XLE) 0.97% 9.57% 5.45% 32.63% 41.78%
Health Care (XLV) 0.63% 7.73% 10.30% 4.40% 24.37%
Industrials (XLI) 0.30% -1.00% 4.47% 15.78% 20.10%
Consumer Discretionary (XLY) 0.23% -1.76% -3.25% -3.42% 3.72%
Materials (XLB) 0.14% -2.94% -2.86% 11.37% 12.50%
Financials (XLF) 0.12% 5.11% 7.66% 3.33% 8.75%
Utilities (XLU) -0.04% 1.00% 0.57% 6.63% 9.89%
Real Estate (XLRE) -0.07% 3.95% 4.14% 13.74% 11.30%
Communication Services (XLC) -0.69% 0.80% -5.84% -5.99% 3.54%
Consumer Staples (XLP) -0.94% 1.62% 3.43% 9.58% 6.83%

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Global Thematic

Thematic performance was dominated by the sharp recovery in semiconductor-related industries. Memory chip strategies were the day’s top performers, with the Tema Memory ETF (DISK) and Roundhill Memory ETF (DRAM) advancing 11.87% and 10.91%, respectively. This strength in hardware contrasted sharply with weakness in software and cybersecurity themes. Cybersecurity funds were among the worst performers, evidenced by the WisdomTree Cybersecurity Fund (WCBR) falling 3.28%.

Name (Ticker) 1-Day
Leaders
Tema Memory ETF (DISK) 11.87%
Roundhill Memory ETF (DRAM) 10.91%
Tuttle Capital Pure Play Photonics ETF (FOTO) 9.05%
First Trust SkyBridge Crypto Industry & Digital Economy ETF (CRPT) 7.25%
Corgi Lithography & Semiconductor Photonics ETF (EUV) 7.00%
Laggards
WisdomTree Cloud Computing Fund (WCLD) -3.33%
WisdomTree Cybersecurity Fund (WCBR) -3.28%
Global X Cybersecurity ETF (BUG) -2.82%
Amplify Cybersecurity ETF (HACK) -1.98%
iShares Cybersecurity & Tech ETF (IHAK) -1.96%

Explore the Thematic Explorer →

Developed ex-U.S. & Emerging Markets

A powerful rally across Asian markets propelled international equities higher, with South Korea (EWY) delivering an exceptional 6.16% return. Taiwan (EWT) also posted a very strong session, gaining 4.84%, while Japan (EWJ) rose 2.55%. This regional strength stood in contrast to China (MCHI), which was a notable exception with a slight decline of 0.15%. European markets, such as Germany (EWG), also participated in the global rally, adding 1.13%.

Name (Ticker) 1-Day 1 Month 3 Month YTD 1 Year
Developed Markets ex-U.S.
Developed ex-U.S. (EFA) 1.45% -0.34% 4.00% 10.07% 21.15%
Australia (EWA) 0.56% 0.42% -1.34% 11.06% 12.19%
Canada (EWC) 0.73% 2.04% 2.60% 10.01% 28.15%
France (EWQ) 1.01% -1.35% 1.99% 2.83% 8.06%
Germany (EWG) 1.13% -0.46% 0.22% -0.82% -0.63%
Hong Kong (EWH) 0.72% 4.79% -2.68% 6.62% 14.27%
Japan (EWJ) 2.55% -3.66% 6.99% 15.47% 33.27%
Netherlands (EWN) 2.18% -4.02% 8.38% 20.37% 33.45%
South Korea (EWY) 6.16% -21.12% 17.79% 77.84% 139.39%
Switzerland (EWL) 0.53% 2.17% 4.83% 6.35% 16.98%
U.K. (EWU) 0.82% 2.88% 1.07% 7.88% 20.88%
Emerging Markets
Emerging Markets (EEM) 2.80% -7.70% 5.49% 20.03% 34.85%
Brazil (EWZ) 0.39% 5.60% -11.84% 13.19% 37.56%
China (MCHI) -0.15% 2.33% -6.54% -9.51% -4.82%
India (INDA) 0.47% -1.61% -2.05% -9.75% -10.90%
Indonesia (EIDO) 1.36% 2.17% -19.75% -30.87% -26.38%
Malaysia (EWM) 0.11% 1.53% -1.70% 4.22% 20.55%
Mexico (EWW) 1.00% -1.93% -1.35% 10.99% 32.42%
South Africa (EZA) 1.05% -6.68% -10.46% -7.56% 20.46%
Taiwan (EWT) 4.84% -8.56% 20.41% 58.32% 77.25%
Thailand (THD) 0.70% 1.69% 8.17% 26.11% 35.33%

Explore the Global (ex-U.S.) Size & Style Explorer →

Fixed Income

Fixed income markets broadly declined as U.S. Treasury yields moved higher. The core U.S. Aggregate Bond (AGG) index shed 0.21%, with longer-duration funds experiencing more significant price drops. A notable exception to the trend was the Convertible (CWB) bond ETF, which rallied 1.84%, benefiting from the strong upward move in its underlying equities. Credit-sensitive areas like High Yield (HYG) were relatively stable, finishing the day nearly unchanged.

Name (Ticker) 1-Day 1 Month 3 Month YTD 1 Year
Multisector
Short-Term (BSV) -0.12% 0.04% -0.09% 0.37% 2.87%
Core Enhanced (IUSB) -0.15% -0.75% -0.61% 0.06% 3.65%
Core (AGG) -0.21% -0.84% -0.75% -0.18% 3.36%
Long-Term (BLV) -0.36% -2.84% -1.98% -1.51% 2.69%
Government
Ultrashort (BIL) 0.00% 0.28% 0.87% 1.95% 3.77%
Short-Term (SPTS) -0.10% 0.13% 0.15% 0.65% 2.93%
Inflation Protected (TIP) -0.16% -0.42% -0.42% 0.77% 2.45%
Intermediate (SPTI) -0.25% -0.35% -0.90% -0.62% 2.24%
Long-Term (SPTL) -0.31% -2.78% -2.02% -1.73% 2.21%
Specialty
Convertible (CWB) 1.84% -6.15% 4.16% 17.07% 23.99%
Bank Loans (BKLN) 0.00% 0.69% 0.74% 0.65% 3.93%
Preferred Stock (PFF) 0.00% -2.46% -1.63% 0.39% 2.78%
High Yield (HYG) -0.04% 0.01% 0.60% 1.75% 5.09%
Mortgage Backed (MBB) -0.17% -0.78% -0.69% 0.19% 4.73%
Corporate (SPIB) -0.18% -0.28% -0.28% 0.30% 3.58%
International & EM
International USD (BNDX) 0.02% -0.85% 0.14% 0.35% 1.31%
Emerging USD (EMB) 0.01% -0.99% 0.48% 1.67% 8.81%
Emerging Local (EMLC) 0.00% -0.26% -0.26% 1.38% 6.98%
International Local (IGOV) -0.25% -1.50% -2.83% -2.59% -3.16%
Municipals
Short-Term (SUB) 0.00% -0.14% 0.18% 0.79% 2.29%
Long-Term (MLN) -0.14% -0.29% 0.06% 1.99% 9.92%
Intermediate (MUB) -0.22% -0.81% -0.20% 0.71% 5.86%
High Yield (HYD) -0.32% -0.99% 0.34% 1.50% 8.13%

Explore the related Explorers: Taxable → · Municipal → · Specialty →

Commodities

Commodities posted broad gains, influenced by geopolitical developments and a risk-on mood. Energy markets were strong, with WTI Crude (USO) rising 2.66% as tensions in the Middle East supported prices. Precious metals also had a robust session, led by a 4.12% jump in Silver (SLV), while Gold (GLD) gained 1.96%. Industrial metals joined the rally, with Copper (CPER) advancing 2.89%.

Name (Ticker) 1-Day 1 Month 3 Month YTD 1 Year
Broad Commodities (DJP) 1.46% 6.42% 0.23% 27.36% 36.58%
Agriculture
Wheat (WEAT) 0.84% 9.85% 8.81% 26.19% 12.25%
Corn (CORN) 0.56% 6.25% -0.94% 1.58% 2.45%
Broad (DBA) 0.46% 5.71% 3.61% 10.31% 12.59%
Sugar (CANE) 0.31% 4.81% 6.29% 0.46% -10.30%
Soybeans (SOYB) -0.12% 6.51% 4.49% 18.25% 18.23%
Energy
WTI Crude (USO) 2.66% 12.17% 0.47% 86.31% 70.46%
Brent Crude (BNO) 2.51% 15.22% 0.98% 78.53% 66.75%
Broad (DBE) 1.74% 13.21% 4.97% 78.09% 66.06%
Natural Gas (UNG) 1.07% -11.41% -5.02% -15.17% -29.16%
Industrial Metals
Copper (CPER) 2.89% 1.72% 8.12% 13.07% 13.14%
Broad (DBB) 1.63% -1.50% 0.57% 8.63% 29.80%
Precious Metals
Silver (SLV) 4.12% -10.80% -22.50% -17.60% 50.16%
Platinum (PPLT) 2.42% -3.58% -19.05% -20.51% 13.10%
Broad (DBP) 2.32% -4.76% -15.28% -8.90% 22.80%
Palladium (PALL) 2.11% 0.22% -15.73% -19.93% 0.95%
Gold (GLD) 1.96% -3.18% -12.75% -5.42% 19.70%

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Cryptocurrency

Digital assets moved higher in line with the positive sentiment seen across other risk assets. The largest crypto-tracking products posted gains, with Bitcoin (IBIT) rising 2.11% and Ethereum (ETHA) adding 1.40%. The broader Multi-Coin (NCIQ) index also advanced 1.91%. The positive performance was widespread across the complex, reflecting increased investor appetite for speculative assets during the session.

Name (Ticker) 1-Day 1 Month 3 Month YTD 1 Year
Solana (SOLZ) 0.26% 12.39% -8.38% -38.07% -63.48%
Ethereum (ETHA) 1.40% 12.81% -16.25% -35.22% -48.69%
Multi-Coin (NCIQ) 1.91% 5.69% -12.63% -27.28% -46.63%
Bitcoin (IBIT) 2.11% 5.76% -11.39% -24.13% -43.21%
XRP (XRP) 3.53% 1.10% -18.23% -37.04%

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What to Watch Today

Looking ahead to Wednesday, market participants will monitor several key data releases and events. The morning will feature the MBA Mortgage Applications report, followed by the EIA Petroleum Status Report, which will be watched closely given recent oil price volatility. In the afternoon, the U.S. Treasury is scheduled to hold a 20-Year Bond Auction. Additionally, the corporate earnings calendar is active, with notable reports expected from AT&T and Google.

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.