Macro Overview
December trading began with a distinct “risk-off” tone as markets pulled back following a strong November. Equities faced pressure from a sharp sell-off in the cryptocurrency complex and renewed concerns over a potential rate hike by the Bank of Japan, which weighed on global sentiment. The S&P 500 (IVV) declined -0.47%, snapping its recent winning streak, while small-caps also struggled, with the Small Cap (IJR) falling -0.54%.
U.S. Size & Style
Selling pressure was broad-based across market capitalization and style, leaving a sea of red on the board. There was little divergence between style factors, as Large Value (IVE) and Large Growth (IVW) fell -0.52% and -0.51%, respectively. Small Growth (IJT) was the day’s worst performer, dropping -0.87%.
| Name (Ticker) | 1 Day | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Large Value (IVE) | -0.52% | -0.52% | 1.21% | 4.08% | 12.08% | 4.34% |
| Large Cap (IVV) | -0.47% | -0.47% | -0.23% | 5.77% | 17.21% | 14.44% |
| Large Growth (IVW) | -0.51% | -0.51% | -1.45% | 7.16% | 21.54% | 22.38% |
| Mid Value (IJJ) | -0.36% | -0.36% | 2.89% | 1.31% | 6.56% | -0.60% |
| Mid Cap (IJH) | -0.57% | -0.57% | 1.59% | 1.56% | 6.83% | -0.83% |
| Mid Growth (IJK) | -0.84% | -0.84% | 0.47% | 1.69% | 6.69% | -1.55% |
| Small Value (IJS) | -0.20% | -0.20% | 2.66% | 3.75% | 5.49% | -1.75% |
| Small Cap (IJR) | -0.54% | -0.54% | 2.05% | 2.23% | 5.44% | -3.08% |
| Small Growth (IJT) | -0.87% | -0.87% | 1.58% | 0.84% | 5.46% | -4.29% |
U.S. Sectors & Industries
Sector performance was largely negative, with only three sectors managing to post gains. Energy (XLE) was the clear standout, rising +0.96%, bolstered by strength in industries like Oil & Gas Eqip. & Svcs (XES), which gained +1.18%. On the downside, interest-rate sensitive areas lagged significantly; Utilities (XLU) tumbled -2.34%, and Health Care (XLV) fell -1.50%, dragged down by weakness in Biotech (XBI), which lost -2.69%.
| Sector (Ticker) | 1 Day | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Energy (XLE) | +0.96% | 0.96% | 3.62% | 1.89% | 9.25% | -1.22% |
| Consumer Discretionary (XLY) | +0.06% | 0.06% | -1.39% | 2.28% | 6.15% | 7.33% |
| Technology (XLK) | +0.05% | 0.05% | -4.77% | 9.24% | 23.72% | 23.28% |
| Consumer Staples (XLP) | -0.10% | -0.10% | 3.95% | -1.16% | 2.79% | -2.16% |
| Materials (XLB) | -0.25% | -0.25% | 4.10% | -2.90% | 7.53% | -4.04% |
| Communication Services (XLC) | -0.47% | -0.47% | 0.03% | 3.47% | 19.68% | 18.05% |
| Financial (XLF) | -0.83% | -0.83% | 0.99% | -1.71% | 10.56% | 4.52% |
| Real Estate (XLRE) | -1.39% | -1.39% | 0.46% | -2.15% | 3.36% | -5.59% |
| Industrials (XLI) | -1.46% | -1.46% | -2.33% | 0.04% | 16.10% | 6.78% |
| Health Care (XLV) | -1.50% | -1.50% | 7.65% | 13.51% | 14.38% | 7.22% |
| Utilities (XLU) | -2.34% | -2.34% | -0.66% | 5.67% | 19.37% | 9.84% |
Global Thematic
Thematic performance showed massive divergence, with Cannabis themes exploding higher while crypto-linked funds suffered heavy losses. AdvisorShares Pure US Cannabis ETF (MSOS) surged +10.63% and Amplify Seymour Cannabis ETF (CNBS) jumped +8.82%, likely on regulatory speculation. Conversely, the “risk-off” mood hit blockchain hard, with Global X Hydrogen ETF (HYDR) down -4.80% and First Trust SkyBridge Crypto Industry (CRPT) falling -4.56%.
| Name (Ticker) | 1-Day % Change |
|---|---|
| AdvisorShares Pure US Cannabis ETF (MSOS) | +10.63% |
| Amplify Seymour Cannabis ETF (CNBS) | +8.82% |
| Amplify Alternative Harvest ETF (MJ) | +6.22% |
| Sprott Silver Miners & Physical Silver ETF (SLVR) | +1.77% |
| iShares MSCI Global Silver Miners ETF (SLVP) | +1.46% |
| Global X Blockchain ETF (BKCH) | -4.24% |
| ARK Genomic Revolution ETF (ARKG) | -4.30% |
| VanEck Digital Transformation ETF (DAPP) | -4.38% |
| First Trust SkyBridge Crypto Industry (CRPT) | -4.56% |
| Global X Hydrogen ETF (HYDR) | -4.80% |
Developed Markets ex-U.S.
International developed markets mirrored the U.S. weakness, with the broad Dev ex-U.S. (EFA) slipping -0.49%. Canada (EWC) was a notable laggard, dropping -0.99%, while Hong Kong (EWH) and Netherlands (EWN) were rare bright spots, posting gains of +0.09% and +0.26% respectively.
| Country (Ticker) | 1-Day % Change | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Dev ex-U.S. (EFA) | -0.49% | -0.49% | 0.24% | 3.54% | 27.44% | 23.68% |
| Australia (EWA) | -0.46% | -0.46% | -3.88% | -4.99% | 9.48% | 0.49% |
| Canada (EWC) | -0.99% | -0.99% | 2.84% | 6.95% | 30.34% | 23.08% |
| France (EWQ) | -0.36% | -0.36% | 0.29% | 4.27% | 26.57% | 26.22% |
| Germany (EWG) | -0.98% | -0.98% | -0.52% | -3.25% | 29.44% | 27.64% |
| Hong Kong (EWH) | +0.09% | 0.09% | 3.34% | 5.20% | 36.46% | 33.04% |
| Japan (EWJ) | -0.58% | -0.58% | -1.10% | 5.43% | 23.99% | 21.25% |
| Netherlands (EWN) | +0.26% | 0.26% | -0.82% | 10.04% | 32.84% | 30.81% |
| South Korea (EWY) | -0.28% | -0.28% | -6.58% | 25.44% | 78.07% | 61.62% |
| Switzerland (EWL) | -0.69% | -0.69% | 3.72% | 3.78% | 27.31% | 21.42% |
| U.K. (EWU) | -0.51% | -0.51% | 0.61% | 3.55% | 29.23% | 24.94% |
Emerging Markets
Emerging markets showed relative resilience compared to developed peers, with Emerging (EEM) down just -0.07%. China (MCHI) outperformed significantly, rising +0.74%, while Thailand (THD) led the group with a gain of +1.86%. India (INDA) lagged, falling -0.69%.
| Country (Ticker) | 1-Day % Change | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Emerging (EEM) | -0.07% | -0.07% | -1.84% | 8.86% | 31.04% | 28.82% |
| Brazil (EWZ) | -0.62% | -0.62% | 7.15% | 13.22% | 51.08% | 39.32% |
| China (MCHI) | +0.74% | 0.74% | -1.43% | 2.20% | 35.02% | 36.23% |
| India (INDA) | -0.69% | -0.69% | 0.67% | 4.52% | 3.21% | -0.10% |
| Indonesia (EIDO) | +0.64% | 0.64% | 2.79% | 6.34% | 4.41% | -1.47% |
| Malaysia (EWM) | +0.64% | 0.64% | 2.90% | 6.96% | 10.74% | 12.45% |
| Mexico (EWW) | +0.06% | 0.06% | 2.90% | 10.53% | 48.87% | 43.07% |
| South Africa (EZA) | +1.06% | 1.06% | 5.77% | 16.96% | 62.84% | 51.50% |
| Taiwan (EWT) | -0.59% | -0.59% | -3.78% | 9.03% | 23.90% | 24.60% |
| Thailand (THD) | +1.86% | 1.86% | -0.92% | 5.05% | 1.81% | -1.73% |
Fixed Income
Treasury yields rose, pushing prices lower across the duration curve. Government Long (SPTL) took the hardest hit, falling -1.18%. Taxable Ultrashort (BIL) was the only category to stay green, inching up +0.01%, while Taxable Core (AGG) declined -0.43%.
| Category (Ticker) | 1 Day | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Taxable Core (AGG) | -0.43% | -0.43% | 0.17% | 1.93% | 7.03% | 5.22% |
| Taxable Core Enhanced (IUSB) | -0.39% | -0.39% | 0.24% | 1.91% | 7.19% | 5.56% |
| Taxable Multisector (PYLD) | -0.22% | -0.22% | 0.52% | 2.31% | 8.89% | 8.47% |
| Taxable Ultrashort (BIL) | +0.01% | 0.01% | 0.30% | 0.98% | 3.81% | 4.23% |
| Taxable Short-Term (BSV) | -0.11% | -0.11% | 0.45% | 1.09% | 5.62% | 5.57% |
| Taxable Long Term (BLV) | -1.04% | -1.04% | -0.49% | 3.60% | 7.26% | 1.90% |
| Government Short (SPTS) | -0.10% | -0.10% | 0.37% | 1.00% | 4.60% | 4.99% |
| Government Intermediate (SPTI) | -0.31% | -0.31% | 0.49% | 1.30% | 7.41% | 6.11% |
| Government Long (SPTL) | -1.18% | -1.18% | -0.77% | 3.65% | 6.27% | 0.52% |
| Inflation Protected (TIP) | -0.39% | -0.39% | -0.18% | 0.57% | 7.01% | 5.18% |
| Corporate (SPIB) | -0.20% | -0.20% | 0.59% | 1.69% | 7.58% | 6.73% |
| Taxable High Yield (HYG) | -0.18% | -0.18% | 0.57% | 1.45% | 7.87% | 7.04% |
| Bank Loans (BKLN) | -0.10% | -0.10% | 0.57% | 1.66% | 5.85% | 6.25% |
| Preferred Stock (PFF) | -0.40% | -0.40% | -0.69% | -0.44% | 3.60% | -0.09% |
| Convertible (CWB) | -0.50% | -0.50% | -3.14% | 4.86% | 17.41% | 12.31% |
| Mortgage Backed (MBS) | -0.36% | -0.36% | 0.23% | 2.23% | 7.84% | 5.95% |
| International USD (BNDX) | -0.31% | -0.31% | -0.50% | 1.03% | 3.08% | 2.28% |
| International (IGOV) | -0.33% | -0.33% | -0.50% | -1.05% | 9.21% | 5.12% |
| Emerging USD (EMB) | -0.35% | -0.35% | 0.15% | 3.73% | 13.10% | 10.58% |
| Emerging (EMLC) | -0.23% | -0.23% | 1.21% | 2.78% | 16.89% | 14.27% |
| Municipal Short (SUB) | -0.07% | -0.07% | 0.29% | 0.28% | 3.13% | 3.19% |
| Municipal Intermediate (MUB) | -0.25% | -0.25% | -0.04% | 3.40% | 3.27% | 1.89% |
| Municipal Long (MLN) | -0.28% | -0.28% | -0.45% | 5.19% | 1.37% | -0.14% |
| Municipal High Yield (HYD) | -0.33% | -0.33% | 0.30% | 4.39% | 2.09% | 0.96% |
Commodities
Commodities defied the broader market slump, led by a surge in Natural Gas (UNG), which popped +3.26%. Precious metals also shone, with Silver (SLV) rallying +2.56% and Gold (GLD) adding +0.48%, as investors sought safety. However, agriculture remained weak, with Sugar (CANE) tumbling -2.56%.
| Commodity (Ticker) | 1-Day % Change | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Broad Commodities (DJP) | +0.56% | 0.56% | 4.05% | 10.14% | 18.51% | 19.86% |
| Energy (DBE) | +0.23% | 0.23% | -0.25% | 0.41% | 2.90% | 7.05% |
| WTI Crude Oil (USO) | -0.01% | -0.01% | -2.07% | -5.05% | -5.94% | -0.77% |
| Brent Crude Oil (BNO) | +0.07% | 0.07% | -1.29% | -3.73% | -2.54% | 0.66% |
| Natural Gas (UNG) | +3.26% | 3.26% | 14.79% | 18.55% | -9.52% | 5.41% |
| Gasoline (UGA) | +0.63% | 0.63% | 2.72% | 5.96% | 6.94% | 11.73% |
| Precious Metals (DBP) | +0.81% | 0.81% | 8.05% | 24.64% | 63.51% | 61.52% |
| Gold (GLD) | +0.48% | 0.48% | 5.88% | 22.54% | 60.97% | 58.70% |
| Silver (SLV) | +2.56% | 2.56% | 19.34% | 45.12% | 99.47% | 88.11% |
| Platinum (PPLT) | -0.79% | -0.79% | 5.47% | 20.90% | 82.29% | 73.89% |
| Palladium (PALL) | -1.83% | -1.83% | -1.27% | 28.50% | 55.65% | 44.06% |
| Industrial Metals (DBB) | +0.14% | 0.14% | 0.27% | 11.67% | 16.76% | 14.46% |
| Copper (CPER) | +0.03% | 0.03% | 2.41% | 14.79% | 28.34% | 25.16% |
| Agriculture (DBA) | -0.49% | -0.49% | -0.30% | -5.33% | -1.13% | 2.28% |
| Corn (CORN) | -0.36% | -0.36% | 0.64% | 1.92% | -4.60% | 0.21% |
| Soybeans (SOYB) | -0.55% | -0.55% | 1.43% | 4.82% | 9.26% | 10.71% |
| Wheat (WEAT) | -0.48% | -0.48% | -2.17% | -3.08% | -13.94% | -13.40% |
| Sugar (CANE) | -2.56% | -2.56% | 2.26% | -12.84% | -16.80% | -23.98% |
Cryptocurrency
The crypto market experienced a sharp correction, significantly weighing on overall market sentiment. Ethereum (ETHA) led the decline, plunging -9.50%, while Solana (SOLZ) dropped -9.22%. Bitcoin (IBIT) was not spared, falling -5.92% on the day.
| Asset (Ticker) | 1-Day % Change | WTD | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Ethereum (ETHA) | -9.50% | -9.50% | -29.26% | -36.72% | -17.87% | -23.61% |
| Solana (SOLZ) | -9.22% | -9.22% | -34.65% | -41.00% | — | — |
| XRP | -7.77% | -7.77% | — | — | — | — |
| Multi-Coin (NCIQ) | -7.51% | -7.51% | -23.59% | -25.39% | — | — |
| Bitcoin (IBIT) | -5.92% | -5.92% | -22.15% | -21.06% | -8.58% | -12.15% |
What to Watch Today
All eyes will be on the Job Openings and Labor Turnover Survey (JOLTS) report, released this morning at 10:00 AM ET. This data point is a critical gauge of labor market demand and will be scrutinized by the Federal Reserve as they assess the need for further policy adjustments. A higher-than-expected number of job openings could reignite fears of wage inflation, potentially pressuring stocks further, while a cooling number would likely reinforce expectations for a rate cut at the upcoming December meeting.
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.
