Macro Overview
Fears of an AI bubble resurfaced on Thursday, driving a sharp selloff across risk assets despite a strong earnings beat from Nvidia. While the chipmaker reassured investors about robust data center demand, concerns mounted over the massive capital expenditures required by its customers, triggering a steep reversal in the technology sector. The S&P 500 (IVV) fell -1.53%, ending a short-lived rally, while volatility spiked. Investors sought refuge in bonds, pushing yields lower, as the broader market digested the implications of sustaining the AI infrastructure boom amid a mixed economic backdrop.
U.S. Size & Style
The selloff was broad-based but particularly punishing for small-cap equities, with the Small Value (IJS) ETF dropping -2.24%, the worst performance among style boxes. Large-cap growth stocks, the epicenter of the AI trade, also suffered significantly, dragging the Large Growth (IVW) down -1.79%. Value held up slightly better on a relative basis but still finished deep in the red, as seen in the Large Value (IVE) decline of -1.24%.
| Name (Ticker) | 1 Day | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Large Value (IVE) | -1.24% | -3.03% | -2.48% | 1.22% | 7.81% | 3.48% |
| Large Cap (IVV) | -1.53% | -2.89% | -2.79% | 2.58% | 12.43% | 11.92% |
| Large Growth (IVW) | -1.79% | -2.76% | -3.06% | 3.72% | 16.32% | 18.80% |
| Mid Value (IJJ) | -1.27% | -2.82% | -4.65% | -1.93% | 0.40% | -2.44% |
| Mid Cap (IJH) | -1.64% | -3.02% | -4.60% | -1.71% | 0.84% | -2.50% |
| Mid Growth (IJK) | -1.86% | -3.17% | -4.41% | -1.46% | 1.06% | -2.77% |
| Small Value (IJS) | -2.24% | -4.96% | -5.71% | -0.28% | -2.36% | -4.78% |
| Small Cap (IJR) | -1.78% | -4.11% | -6.20% | -1.52% | -1.73% | -5.56% |
| Small Growth (IJT) | -1.22% | -3.27% | -6.69% | -2.69% | -1.11% | -6.57% |
U.S. Sectors & Industries
Investors fled to safety, making Consumer Staples (XLP) the only sector to close in positive territory, up +0.72%. Conversely, Technology (XLK) bore the brunt of the selling, plunging -3.14% as semiconductor weakness weighed heavily on the index. Industrial weakness was also notable, with Industrials (XLI) falling -1.68%. Within the sub-sectors, defensive pockets like Health Care Svcs (XHS) and Insurance outperformed, while cyclical areas like Oil & Gas Expl. & Prod (XOP) and Semiconductor (XSD) faced steep declines.
| Sector (Ticker) | 1 Day | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Consumer Staples (XLP) | +0.72% | -0.26% | -3.26% | -6.76% | -0.10% | -1.36% |
| Real Estate (XLRE) | -0.35% | -1.42% | -4.97% | -2.76% | 1.55% | -3.98% |
| Utilities (XLU) | -0.51% | -0.83% | -3.85% | 2.83% | 18.71% | 12.55% |
| Health Care (XLV) | -0.60% | -0.27% | 4.58% | 10.63% | 11.52% | 7.86% |
| Financial (XLF) | -0.87% | -2.55% | -3.18% | -3.01% | 6.84% | 4.67% |
| Communication Services (XLC) | -1.10% | -1.22% | -5.39% | 0.46% | 14.60% | 14.27% |
| Energy (XLE) | -1.13% | -3.43% | 2.27% | 4.46% | 6.31% | -4.69% |
| Consumer Discretionary (XLY) | -1.49% | -4.21% | -6.40% | -2.65% | -0.78% | 3.92% |
| Materials (XLB) | -1.49% | -2.66% | -5.03% | -5.84% | 1.84% | -6.82% |
| Industrials (XLI) | -1.68% | -2.75% | -3.71% | -1.84% | 13.34% | 8.01% |
| Technology (XLK) | -3.14% | -5.55% | -5.57% | 4.87% | 17.59% | 18.48% |
Global Thematic
Thematic performance was heavily skewed to the downside, but cannabis stocks bucked the trend, with Cannabis & Vice (CNBS) rising +1.27%. In stark contrast, energy-related themes suffered, particularly Uranium & Nuclear Energy (URA) which plummeted -6.71% amid broader risk-off sentiment in the energy complex.
| Name (Ticker) | 1-Day % Change |
|---|---|
| Cannabis & Vice (CNBS) | +1.27% |
| MLP C-Corp (AMLP) | -0.04% |
| Genomics & Immunology (ARKG) | -0.18% |
| Midstream & MLP RIC (MLPX) | -0.22% |
| Digital & Communications (SRVR) | -0.73% |
| Solar (TAN) | -4.12% |
| Gold Miners (GDX) | -4.48% |
| Clean Energy (PBW) | -5.19% |
| Silver Miners (SIL) | -5.39% |
| Uranium & Nuclear Energy (URA) | -6.71% |
Developed Markets ex-U.S.
International developed markets were universally lower, caught in the global equity downdraft. Netherlands (EWN) was the worst performer, falling -2.68%, likely impacted by the semiconductor selloff affecting its heavy tech weighting. U.K. (EWU) held up best on a relative basis but still closed down -0.93%.
| Country (Ticker) | 1 Day | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Dev ex-U.S. (EFA) | -1.38% | -4.22% | -4.25% | -1.29% | 22.75% | 21.80% |
| Australia (EWA) | -1.38% | -3.85% | -8.47% | -6.55% | 6.16% | -0.86% |
| Canada (EWC) | -1.40% | -1.93% | -1.60% | 5.94% | 24.67% | 20.63% |
| France (EWQ) | -1.04% | -4.13% | -4.89% | -2.23% | 22.53% | 22.86% |
| Germany (EWG) | -1.57% | -4.82% | -7.14% | -8.26% | 24.24% | 26.14% |
| Hong Kong (EWH) | -1.14% | -4.96% | 1.03% | 2.32% | 32.66% | 30.84% |
| Japan (EWJ) | -1.47% | -5.35% | -4.85% | -0.19% | 19.42% | 20.97% |
| Netherlands (EWN) | -2.68% | -4.49% | -5.66% | 3.62% | 26.46% | 27.30% |
| South Korea (EWY) | -2.24% | -5.95% | -2.10% | 24.06% | 73.96% | 58.00% |
| Switzerland (EWL) | -1.19% | -3.23% | -3.45% | 0.31% | 23.48% | 20.26% |
| U.K. (EWU) | -0.93% | -3.34% | -1.94% | -0.91% | 24.44% | 23.95% |
Emerging Markets
Emerging markets followed suit, with South Africa (EZA) leading the decline, down -2.46%. India (INDA) showed relative resilience, slipping only -0.20%, while broader emerging market exposure via Emerging (EEM) fell -1.37%.
| Country (Ticker) | 1 Day | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Emerging (EEM) | -1.37% | -3.37% | -3.30% | 6.75% | 28.21% | 25.75% |
| Brazil (EWZ) | -1.82% | -3.86% | 5.56% | 15.20% | 44.29% | 25.03% |
| China (MCHI) | -1.66% | -4.13% | -5.05% | 1.60% | 31.18% | 30.54% |
| India (INDA) | -0.20% | 0.18% | -0.04% | 1.71% | 3.95% | 2.78% |
| Indonesia (EIDO) | -0.81% | -0.27% | 2.86% | -1.45% | 1.86% | -4.17% |
| Malaysia (EWM) | -1.06% | -1.51% | 0.89% | 3.41% | 8.45% | 11.81% |
| Mexico (EWW) | -1.12% | -1.79% | 0.12% | 7.93% | 43.56% | 37.91% |
| South Africa (EZA) | -2.46% | -3.08% | -1.93% | 13.69% | 56.75% | 45.84% |
| Taiwan (EWT) | -1.31% | -5.36% | -6.79% | 4.93% | 19.17% | 18.72% |
| Thailand (THD) | -0.15% | -0.34% | -1.88% | 1.71% | -1.05% | -4.54% |
Fixed Income
Treasuries acted as a safe haven amid the equity volatility, with Government Long (SPTL) rallying +0.41%. However, riskier segments of the credit market came under pressure, with Convertible (CWB) debt sliding -2.01%, mirroring the weakness in the underlying equity market.
| Category (Ticker) | 1 Day | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Taxable Core (AGG) | +0.12% | 0.20% | -0.60% | 2.13% | 6.83% | 6.54% |
| Taxable Core Enhanced (IUSB) | +0.13% | 0.19% | -0.48% | 2.12% | 6.97% | 6.80% |
| Taxable Multisector (PYLD) | +0.04% | -0.07% | -0.19% | 2.27% | 8.20% | 8.82% |
| Taxable Ultrashort (BIL) | +0.02% | 0.04% | 0.33% | 1.00% | 3.71% | 4.24% |
| Taxable Short-Term (BSV) | +0.09% | 0.19% | 0.05% | 1.31% | 5.44% | 5.96% |
| Taxable Long Term (BLV) | +0.28% | 0.36% | -2.06% | 3.14% | 7.01% | 4.93% |
| Government Short (SPTS) | +0.07% | 0.17% | 0.16% | 1.24% | 4.48% | 5.24% |
| Government Intermediate (SPTI) | +0.21% | 0.38% | -0.06% | 1.80% | 7.30% | 7.17% |
| Government Long (SPTL) | +0.41% | 0.45% | -1.74% | 3.77% | 6.50% | 4.18% |
| Inflation Protected (TIP) | +0.05% | 0.01% | -0.59% | 1.44% | 6.95% | 6.02% |
| Corporate (SPIB) | +0.09% | 0.21% | -0.28% | 1.59% | 7.12% | 7.28% |
| Taxable High Yield (HYG) | -0.06% | -0.15% | -0.46% | 1.15% | 6.88% | 6.80% |
| Bank Loans (BKLN) | -0.05% | -0.19% | 0.63% | 1.47% | 5.29% | 5.84% |
| Preferred Stock (PFF) | -0.59% | -1.86% | -3.74% | -2.10% | 1.87% | 0.06% |
| Convertible (CWB) | -2.01% | -2.27% | -6.69% | 2.44% | 12.67% | 9.91% |
| Mortgage Backed (MBS) | +0.12% | 0.13% | -0.45% | 2.74% | 7.58% | 7.52% |
| International USD (BNDX) | +0.02% | 0.00% | -0.55% | 0.98% | 3.01% | 3.58% |
| International (IGOV) | -0.10% | -1.33% | -2.35% | -1.30% | 8.33% | 6.44% |
| Emerging USD (EMB) | -0.24% | -0.08% | 0.15% | 3.51% | 12.51% | 11.50% |
| Emerging (EMLC) | -0.16% | -0.27% | 0.27% | 2.55% | 16.17% | 14.24% |
| Municipal Short (SUB) | +0.02% | 0.07% | 0.24% | 0.30% | 3.09% | 3.42% |
| Municipal Intermediate (MUB) | +0.07% | 0.14% | -0.11% | 3.77% | 3.23% | 2.75% |
| Municipal Long (MLN) | -0.28% | -0.23% | -0.58% | 5.73% | 1.41% | 1.48% |
| Municipal High Yield (HYD) | +0.01% | 0.47% | 0.08% | 4.52% | 1.78% | 1.60% |
Commodities
Commodities were broadly weaker, with Broad Commodities (DJP) falling -1.24%. Energy prices slumped, with WTI Crude Oil (USO) dropping -1.03%. Precious metals were not immune to the selling, as Platinum (PPLT) led the decline, shedding -2.28%.
| Commodity (Ticker) | 1-Day % Change | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Broad Commodities (DJP) | -1.24% | -1.27% | 0.19% | 9.46% | 14.30% | 15.16% |
| Energy (DBE) | -1.41% | -1.80% | 5.61% | 1.92% | 2.80% | 5.27% |
| WTI Crude Oil (USO) | -1.03% | -1.72% | 3.42% | -4.58% | -7.15% | -2.60% |
| Brent Crude Oil (BNO) | -0.79% | -1.90% | 3.93% | -3.35% | -3.71% | -0.96% |
| Natural Gas (UNG) | -1.90% | -0.96% | 11.52% | 18.88% | -14.22% | -2.24% |
| Gasoline (UGA) | -1.37% | -4.75% | 7.79% | 4.27% | 5.03% | 5.70% |
| Precious Metals (DBP) | -0.38% | -0.48% | -6.51% | 22.64% | 54.33% | 52.67% |
| Gold (GLD) | -0.03% | -0.30% | -7.02% | 21.56% | 54.81% | 53.24% |
| Silver (SLV) | -1.44% | -0.39% | -4.07% | 32.97% | 73.87% | 62.92% |
| Platinum (PPLT) | -2.28% | -2.22% | -8.35% | 12.38% | 65.36% | 56.34% |
| Palladium (PALL) | -0.78% | -2.06% | -9.18% | 23.20% | 49.99% | 34.15% |
| Industrial Metals (DBB) | -0.93% | -1.62% | 0.56% | 9.22% | 12.63% | 11.01% |
| Copper (CPER) | -1.16% | -1.76% | -1.47% | 11.24% | 22.30% | 18.16% |
| Agriculture (DBA) | -0.57% | -0.57% | -3.10% | -4.63% | -2.44% | 2.45% |
| Corn (CORN) | -0.82% | -1.68% | 0.17% | 3.10% | -6.23% | -3.77% |
| Soybeans (SOYB) | -0.55% | -0.09% | 5.80% | 5.99% | 8.66% | 9.89% |
| Wheat (WEAT) | -1.64% | -0.48% | 2.70% | -0.95% | -13.07% | -16.03% |
| Sugar (CANE) | +0.09% | -0.63% | -5.78% | -14.85% | -17.32% | -25.82% |
Cryptocurrency
Digital assets were caught in the broader risk-off move, with Ethereum (ETHA) underperforming significantly, falling -3.73%. Bitcoin (IBIT) also retreated, dropping -3.49%, while Solana (SOLZ) managed a small gain of +0.29%, acting as an outlier in a sea of red.
| Asset (Ticker) | 1-Day % Change | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Ethereum (ETHA) | -3.73% | -9.62% | -28.96% | -34.94% | -15.34% | -8.11% |
| Bitcoin (IBIT) | -3.49% | -8.44% | -22.20% | -24.56% | -7.71% | -8.86% |
| Multi-Coin (NCIQ) | -3.15% | -8.28% | -23.32% | -27.44% | ||
| Solana (SOLZ) | +0.29% | -4.36% | -30.11% | -32.04% |
What to Watch Today
All eyes will turn to the University of Michigan’s final reading of Consumer Sentiment for November, set to be released later this morning. With markets on edge following yesterday’s tech-led volatility, investors will be closely scrutinizing the data for signs of consumer resilience and inflation expectations. A strong report could reinforce the “soft landing” narrative and help stabilize equities, while any significant weakness could exacerbate fears of an economic slowdown and deepen the current corrective move.
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.
