Macro Overview
Global markets exhibited a fragmented performance profile on Wednesday as U.S. equities faced headwinds from a mix of bank earnings and regulatory concerns. While the IVV retreated -0.49%, international developed markets managed a positive session with the EFA gaining +0.47%, led by a significant +1.95% surge in South Korea (EWY). Emerging markets (EEM) also found footing with a +0.42% rise, supported by strength in Latin American countries. Within fixed income, a flight to quality benefited long-duration Treasuries, whereas commodities (DJP) saw a historic +7.58% move in Silver as precious metals hit record highs. Cryptocurrency markets remained robust, with Bitcoin (IBIT) rising +3.49% as investors digested stable inflation data.
U.S. Size & Style
U.S. equity markets displayed a clear rotation into value and smaller-cap segments as mega-cap growth took a breather. While Large Growth (IVW) fell -1.17%, Small Value (IJS) led the style box with a +0.73% gain, benefiting from a technical rebound. Currently, Large Growth technicals are cooling with an RSI of 47.97, while breadth remains healthiest in the small-cap segment, where 74.30% of IJR constituents sit above their 50-day SMA.
| Name (Ticker) | 1-Day % Change | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|
| Small Value (IJS) | +0.73% | +3.61% | +10.24% | +6.16% | +13.74% |
| Small Cap (IJR) | +0.57% | +2.99% | +8.01% | +5.87% | +12.24% |
| Mid Value (IJJ) | +0.48% | +3.26% | +7.18% | +4.85% | +11.38% |
| Small Growth (IJT) | +0.38% | +2.27% | +5.83% | +5.45% | +10.45% |
| Large Value (IVE) | +0.28% | +2.23% | +6.21% | +2.50% | +16.20% |
| Mid Cap (IJH) | +0.10% | +3.88% | +7.22% | +5.20% | +11.59% |
| Mid Growth (IJK) | -0.25% | +4.23% | +6.98% | +5.39% | +11.32% |
| Large Cap (IVV) | -0.49% | +1.57% | +4.58% | +1.25% | +20.07% |
| Large Growth (IVW) | -1.17% | +0.94% | +3.11% | +0.12% | +23.31% |
U.S. Sectors & Industries
Sector performance was dominated by Energy (XLE) and Consumer Staples (XLP), both of which closed at 52-week highs. Notably, Materials (XLB) is flashing overbought signals with an RSI of 74.78 and 100% of its constituents trading above their 50-day SMA. In contrast, Technology (XLK) fell -1.22% as breadth weakened to 50% for the session.
| Name (Ticker) | 1-Day % Change | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|
| Energy (XLE) | +2.26% | +6.49% | +12.23% | +7.49% | +8.90% |
| Consumer Staples (XLP) | +1.38% | +4.37% | +4.81% | +5.86% | +10.44% |
| Real Estate (XLRE) | +1.12% | +2.67% | +1.31% | +2.58% | +6.95% |
| Utilities (XLU) | +0.75% | +1.55% | -5.14% | +1.12% | +17.32% |
| Health Care (XLV) | +0.71% | +2.90% | +11.37% | +1.98% | +14.73% |
| Industrials (XLI) | +0.16% | +5.16% | +7.56% | +5.90% | +23.85% |
| Materials (XLB) | +0.04% | +8.52% | +9.97% | +7.50% | +15.31% |
| Financial (XLF) | -0.15% | -1.12% | +2.06% | -1.13% | +13.77% |
| Communication Services (XLC) | -0.21% | +0.40% | +2.12% | -0.92% | +23.57% |
| Technology (XLK) | -1.22% | +0.85% | +2.96% | +0.51% | +27.84% |
| Consumer Discretionary (XLY) | -1.58% | +1.48% | +4.54% | +2.38% | +11.25% |
Global Thematic
Natural resource themes dominated the leaderboard as Uranium and Copper miners outperformed significantly. The Sprott Uranium Miners ETF (URNM) surged +4.39%, while Disruptive Tech themes like Cloud Computing (SKYY) languished, falling -2.03% amidst the broader tech sell-off.
| Name (Ticker) | 1-Day % Change |
|---|---|
| Leaders | |
| Crypto Industry & Digital Economy (CRPT) | +4.58% |
| Nickel Miners (NIKL) | +4.49% |
| Uranium Miners (URNM) | +4.39% |
| Junior Uranium Miners (URNJ) | +3.77% |
| Uranium ETF (URA) | +3.58% |
| Laggards | |
| Global Internet Giants (OGIG) | -2.20% |
| Cloud Computing Fund (WCLD) | -2.04% |
| AI Enablers & Adopters (ALAI) | -2.04% |
| Cloud Computing ETF (SKYY) | -2.03% |
| A.I. Innovation and Tech Active (BAI) | -1.94% |
Developed ex-U.S. & Emerging Markets
South Korea was the standout performer in developed markets, with EWY rising +1.95%, though it is now overextended with a 74.1 RSI. In Emerging Markets, Mexico (EWW) showed strength with a +1.96% gain, while China (MCHI) remained nearly flat as investors await clearer economic catalysts.
| Name (Ticker) | 1-Day % Change | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|
| Developed ex-U.S. | |||||
| Dev ex-U.S. (EFA) | +0.47% | +4.77% | +8.25% | +3.41% | +36.92% |
| Australia (EWA) | +0.49% | +1.79% | +1.11% | +1.34% | +14.29% |
| Canada (EWC) | +0.11% | +3.31% | +10.18% | +2.32% | +39.87% |
| France (EWQ) | -0.20% | +2.72% | +4.47% | +1.96% | +30.74% |
| Germany (EWG) | -0.18% | +3.11% | +4.37% | +2.33% | +37.21% |
| Hong Kong (EWH) | +0.31% | +6.08% | +10.15% | +5.74% | +49.11% |
| Japan (EWJ) | +0.70% | +5.07% | +10.27% | +5.33% | +36.27% |
| Netherlands (EWN) | -0.18% | +7.50% | +9.06% | +6.38% | +42.81% |
| South Korea (EWY) | +1.95% | +21.00% | +35.61% | +12.78% | +107.66% |
| Switzerland (EWL) | +1.16% | +4.28% | +8.06% | +1.52% | +33.88% |
| U.K. (EWU) | +0.67% | +6.65% | +9.74% | +2.96% | +41.16% |
| Emerging Markets | |||||
| Emerging (EEM) | +0.42% | +8.01% | +10.59% | +5.56% | +43.31% |
| Brazil (EWZ) | +1.62% | +3.09% | +18.05% | +4.38% | +52.27% |
| China (MCHI) | +0.05% | +4.57% | +2.80% | +5.79% | +44.90% |
| India (INDA) | +0.40% | +0.21% | +0.89% | -1.48% | +4.56% |
| Indonesia (EIDO) | +0.58% | +3.01% | +12.23% | +2.35% | +10.25% |
| Malaysia (EWM) | +0.53% | +6.18% | +11.38% | +3.07% | +24.44% |
| Mexico (EWW) | +1.96% | +5.82% | +15.37% | +5.84% | +58.87% |
| South Africa (EZA) | +0.41% | +12.81% | +18.55% | +6.67% | +90.23% |
| Taiwan (EWT) | +0.62% | +8.54% | +9.22% | +4.69% | +36.47% |
| Thailand (THD) | +0.87% | +0.47% | +2.43% | -0.89% | +6.83% |
Fixed Income
In fixed income, performance was heavily dictated by duration, as the long end of the curve significantly outperformed the short end. Long-term Treasuries (SPTL) gained +0.56% as yields moderated, while high-yield credit spreads remained tight but saw flat daily performance in HYG. Investment-grade corporates (SPIB) lagged slightly compared to Treasuries but maintained positive 1-year momentum.
| Name (Ticker) | 1-Day % Change | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|
| Core & Multisector | |||||
| Taxable Core (AGG) | +0.15% | +0.88% | +0.56% | +0.47% | +8.84% |
| Taxable Multisector (PYLD) | +0.15% | +1.20% | +2.18% | +0.60% | +10.87% |
| Taxable Ultrashort (BIL) | +0.01% | +0.29% | +0.95% | +0.13% | +4.13% |
| Government & Treasuries | |||||
| Government Long (SPTL) | +0.56% | +1.56% | -1.08% | +1.13% | +9.19% |
| Government Short (SPTS) | +0.03% | +0.29% | +0.73% | +0.00% | +5.30% |
| Inflation Protected (TIP) | +0.11% | +0.47% | -0.22% | +0.45% | +7.54% |
| Corporate & Specialty | |||||
| Corporate (SPIB) | +0.09% | +0.69% | +0.93% | +0.27% | +8.96% |
| Taxable High Yield (HYG) | +0.00% | +1.06% | +2.09% | +0.51% | +9.20% |
| Preferred Stock (PFF) | +0.30% | +2.54% | +2.44% | +2.52% | +8.58% |
| International & EM | |||||
| International (IGOV) | +0.26% | +0.22% | -0.30% | -0.02% | +12.55% |
| Emerging USD (EMB) | +0.21% | +0.50% | +2.42% | +0.08% | +14.30% |
| Municipals | |||||
| Municipal Intermediate (MUB) | +0.17% | +1.13% | +1.57% | +0.62% | +5.61% |
| Municipal High Yield (HYD) | +0.28% | +1.23% | +2.27% | +0.62% | +4.59% |
Commodities
Precious metals saw an extraordinary breakout as Silver (SLV) surged +7.58% to cross record levels. While Broad Commodities (DJP) rose +0.35%, Energy commodities remained a drag, with Natural Gas (UNG) plummeting -9.54% following production updates and inventory shifts.
| Name (Ticker) | 1-Day % Change | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|
| Broad Commodities (DJP) | +0.35% | +6.16% | +11.22% | +5.40% | +17.77% |
| Agriculture | |||||
| Agriculture (DBA) | -0.23% | -0.36% | -0.62% | -0.04% | -0.88% |
| Corn (CORN) | +0.53% | -3.72% | -0.98% | -3.61% | -12.04% |
| Energy | |||||
| Energy (DBE) | -1.61% | +2.25% | +3.37% | +3.06% | -5.60% |
| Natural Gas (UNG) | -9.54% | -19.56% | -14.31% | -16.48% | -44.56% |
| Industrial Metals | |||||
| Industrial Metals (DBB) | +1.70% | +13.69% | +20.82% | +7.02% | +33.49% |
| Copper (CPER) | +1.65% | +14.22% | +21.56% | +7.27% | +37.67% |
| Precious Metals | |||||
| Precious Metals (DBP) | +2.71% | +16.43% | +24.56% | +12.79% | +91.58% |
| Silver (SLV) | +7.58% | +50.73% | +80.68% | +31.26% | +210.88% |
Cryptocurrency
Digital assets maintained positive momentum, largely ignoring the volatility in traditional tech equities. Ethereum (ETHA) outperformed Bitcoin with a +5.66% daily gain, while Bitcoin (IBIT) remains comfortably above its 50-day moving average following a +3.49% rise.
| Name (Ticker) | 1-Day % Change | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|
| Solana (SOLZ) | +2.44% | +12.03% | -27.27% | +18.76% | — |
| Multi-Coin (NCIQ) | +3.51% | +8.30% | -14.96% | +12.58% | — |
| Bitcoin (IBIT) | +3.49% | +8.28% | -13.25% | +11.66% | +1.11% |
| Ethereum (ETHA) | +5.66% | +9.97% | -17.66% | +14.09% | +4.79% |
What to Watch Today
Markets today are intensely focused on the final digestion of December’s PPI and retail sales data, which provided a conflicting view of the “resilient consumer” versus “wholesale inflation” narrative. Investor attention is also pivoting toward the ongoing barrage of big bank earnings, as reports from major financial institutions continue to test the appetite for cyclicals. Broadly, the narrative is being driven by developments regarding Federal Reserve independence and the potential for regulatory shifts that could impact payment processors and large-cap lenders.
