Growth Outperforms Value on a Mixed Day

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Macro Overview

U.S. equities finished a choppy session largely unchanged on Thursday as investors digested a mixed bag of labor market data ahead of Friday’s pivotal jobs report. While initial jobless claims fell to three-year lows, the Challenger report indicated a rise in layoffs, creating a conflicting picture for the Federal Reserve. The S&P 500 (IVV) eked out a gain of +0.09%, while the Nasdaq Composite outperformed slightly and the Dow Jones Industrial Average slipped. Market breadth was mixed, with weakness in defensive sectors offsetting strength in growth and industrials.

U.S. Size & Style

Mid-cap stocks were the standout performers on Thursday, with Mid Cap (IJH) rising +0.50%, led by a strong +0.81% gain in Mid Growth (IJK). In the large-cap space, growth continued to outpace value, as Large Growth (IVW) added +0.41% compared to a -0.16% decline for Large Value (IVE). Small caps were the laggards of the day, with Small Value (IJS) dropping -0.46%, highlighting a preference for quality and size amid economic uncertainty.

Name (Ticker) 1 Day WTD 1 Month 3 Month YTD 1 Year
Large Value (IVE) -0.16% -0.12% 2.07% 4.39% 12.54% 6.42%
Large Cap (IVV) +0.09% 0.14% 1.33% 5.78% 17.93% 14.08%
Large Growth (IVW) +0.41% 0.40% 0.76% 7.02% 22.66% 20.51%
Mid Value (IJJ) +0.19% 0.21% 4.03% 1.08% 7.17% 0.86%
Mid Cap (IJH) +0.50% 0.27% 3.39% 1.53% 7.73% 0.29%
Mid Growth (IJK) +0.81% 0.26% 2.65% 1.70% 7.87% -0.56%
Small Value (IJS) -0.46% 0.77% 4.72% 3.88% 6.51% -0.76%
Small Cap (IJR) -0.08% 0.80% 4.49% 2.98% 6.86% -1.62%
Small Growth (IJT) +0.06% 0.55% 4.15% 1.92% 6.97% -2.83%

U.S. Sectors & Industries

Sector performance was bifurcated, with Communication Services (XLC) taking the top spot, rising +0.57%, closely followed by Industrials (XLI) at +0.52%. Aerospace & Defense was a standout sub-sector theme, driving the industrial gains. Conversely, defensive sectors and rate-sensitive areas faced pressure; Health Care (XLV) lagged significantly, falling -0.76%, and Materials (XLB) dropped -0.58%.

Sector (Ticker) 1 Day WTD 1 Month 3 Month YTD 1 Year
Communication Services (XLC) +0.57% 0.35% 2.64% 1.85% 20.66% 16.84%
Industrials (XLI) +0.52% 0.86% 1.57% 2.74% 18.84% 10.32%
Energy (XLE) +0.42% 1.96% 5.77% 4.41% 10.33% 3.32%
Technology (XLK) +0.37% 1.69% -0.98% 10.97% 25.76% 21.47%
Financial (XLF) +0.21% 0.62% 2.37% -0.41% 12.17% 8.32%
Real Estate (XLRE) -0.17% -1.61% 0.15% -1.07% 3.13% -3.52%
Utilities (XLU) -0.21% -3.54% -1.59% 5.10% 17.90% 11.85%
Consumer Discretionary (XLY) -0.36% 0.71% -0.01% 1.45% 6.84% 6.19%
Consumer Staples (XLP) -0.48% -1.16% 3.24% -2.04% 1.70% -2.30%
Materials (XLB) -0.58% -1.04% 4.43% -2.66% 6.68% -3.50%
Health Care (XLV) -0.76% -2.38% 6.06% 12.50% 13.35% 6.74%

Global Thematic

Speculative themes saw massive divergence. Cannabis stocks roared higher, with AdvisorShares Pure US Cannabis ETF (MSOS) surging +6.23%, while the nuclear renaissance trade continued to gain momentum as Uranium & Nuclear Energy (URA) jumped +5.53%. On the flip side, housing and materials-linked themes faced headwinds, with Sprott Silver Miners & Physical Silver ETF (SLVR) shedding -3.06%.

Developed Markets ex-U.S.

International developed markets saw modest gains, with Dev ex-U.S. (EFA) rising +0.27%. Japan was a clear leader, as Japan (EWJ) gained +1.22%, supported by favorable currency dynamics. Canada also performed well, with Canada (EWC) up +1.14%. Conversely, South Korea (EWY) continued its recent volatility, falling -1.22%.

Country (Ticker) 1 Day WTD 1 Month 3 Month YTD 1 Year
Dev ex-U.S. (EFA) +0.27% 0.65% 2.40% 4.85% 28.90% 23.96%
Australia (EWA) +0.61% 1.70% -0.45% -2.27% 11.86% 3.86%
Canada (EWC) +1.14% 0.70% 6.74% 8.04% 32.57% 26.03%
France (EWQ) -0.09% 0.40% 2.57% 5.15% 27.54% 27.01%
Germany (EWG) +0.46% 0.54% 1.98% -0.48% 31.43% 26.65%
Hong Kong (EWH) -0.67% -0.72% 1.01% 5.14% 35.36% 33.50%
Japan (EWJ) +1.22% 0.73% 0.95% 6.21% 25.63% 20.33%
Netherlands (EWN) -0.68% 1.05% 1.66% 11.18% 33.88% 30.05%
South Korea (EWY) -1.22% 1.10% -4.06% 25.73% 80.53% 67.40%
Switzerland (EWL) -0.28% 0.16% 5.18% 3.95% 28.40% 23.04%
U.K. (EWU) -0.09% 0.63% 2.94% 4.90% 30.70% 26.08%

Emerging Markets

Emerging markets were flat overall, with Emerging (EEM) dipping marginally by -0.02%. Regionally, Latin America outperformed, led by a +1.52% rally in Brazil (EWZ) and a +0.57% gain in Mexico (EWW). Asian markets were mixed; India (INDA) rose +0.66%, while Taiwan (EWT) fell -0.52%.

Country (Ticker) 1 Day WTD 1 Month 3 Month YTD 1 Year
Emerging (EEM) -0.02% 0.02% -0.55% 8.99% 31.16% 27.84%
Brazil (EWZ) +1.52% 3.30% 11.35% 19.03% 57.05% 45.23%
China (MCHI) +0.16% 0.35% -1.20% 2.79% 33.55% 35.41%
India (INDA) +0.66% -1.74% -0.48% 2.22% 2.13% -1.84%
Indonesia (EIDO) -0.21% 0.64% 2.34% 5.74% 4.41% -3.69%
Malaysia (EWM) -0.52% 0.61% 2.35% 6.49% 10.70% 11.59%
Mexico (EWW) +0.57% 0.58% 4.83% 9.12% 49.65% 40.79%
South Africa (EZA) +0.19% 0.46% 9.13% 18.53% 61.87% 49.65%
Taiwan (EWT) -0.52% 0.00% -1.41% 8.79% 24.63% 21.10%
Thailand (THD) -0.45% 1.24% 0.83% 2.43% 1.18% -3.97%

Fixed Income

Treasury yields crept higher, weighing on long-duration assets. Government Long (SPTL) fell -0.48% and Taxable Long Term (BLV) dropped -0.37%. Credit-sensitive areas proved resilient, with Convertible (CWB) jumping +0.76% and Bank Loans (BKLN) adding +0.19%.

Category (Ticker) 1 Day WTD 1 Month 3 Month YTD 1 Year
Convertible (CWB) +0.76% 0.27% -0.75% 5.76% 18.32% 13.29%
Bank Loans (BKLN) +0.19% 0.14% 0.77% 1.86% 6.10% 6.40%
Municipal High Yield (HYD) +0.08% -0.39% 0.30% 3.58% 2.03% 0.75%
Taxable High Yield (HYG) +0.07% 0.17% 1.22% 1.35% 8.25% 7.19%
Municipal Long (MLN) +0.03% -0.46% -0.66% 4.51% 1.19% -0.68%
Taxable Ultrashort (BIL) +0.01% 0.07% 0.33% 0.98% 3.87% 4.22%
Municipal Intermediate (MUB) -0.01% -0.26% -0.08% 3.03% 3.26% 1.65%
Municipal Short (SUB) -0.02% 0.06% 0.43% 0.31% 3.25% 3.24%
Emerging (EMLC) -0.04% 0.35% 2.25% 3.61% 17.57% 15.34%
Government Short (SPTS) -0.07% -0.06% 0.35% 1.01% 4.63% 4.91%
Taxable Multisector (PYLD) -0.07% -0.04% 0.71% 2.15% 9.09% 8.43%
Emerging USD (EMB) -0.08% 0.11% 1.02% 3.75% 13.62% 10.78%
Taxable Short-Term (BSV) -0.09% -0.08% 0.43% 0.98% 5.66% 5.53%
International USD (BNDX) -0.10% -0.31% -0.33% 0.93% 3.08% 1.96%
Corporate (SPIB) -0.12% -0.14% 0.63% 1.31% 7.64% 6.60%
Inflation Protected (TIP) -0.14% -0.28% -0.03% 0.49% 7.14% 5.01%
Taxable Core Enhanced (IUSB) -0.19% -0.28% 0.38% 1.57% 7.30% 5.51%
International (IGOV) -0.24% 0.00% 0.43% 0.02% 9.58% 5.92%
Taxable Core (AGG) -0.24% -0.35% 0.33% 1.50% 7.11% 5.15%
Government Intermediate (SPTI) -0.24% -0.35% 0.41% 1.01% 7.38% 6.01%
Mortgage Backed (MBS) -0.28% -0.27% 0.27% 1.86% 7.94% 6.02%
Preferred Stock (PFF) -0.31% 0.04% 0.20% -0.64% 4.06% 1.04%
Taxable Long Term (BLV) -0.37% -1.04% -0.31% 2.35% 7.26% 1.48%
Government Long (SPTL) -0.48% -1.29% -0.85% 2.47% 6.15% -0.05%

Commodities

Energy commodities rebounded, with Natural Gas (UNG) surging +1.23% and WTI Crude Oil (USO) climbing +1.03%. Precious metals were hit by profit-taking; Silver (SLV) tumbled -2.47% and Palladium (PALL) fell -1.78%.

Commodity (Ticker) 1 Day WTD 1 Month 3 Month YTD 1 Year
Natural Gas (UNG) +1.23% 6.31% 12.42% 19.54% -6.84% 18.10%
WTI Crude Oil (USO) +1.03% 0.45% -0.75% -3.76% -5.51% -0.68%
Brent Crude Oil (BNO) +0.72% 0.14% -0.58% -2.86% -2.47% 0.52%
Corn (CORN) +0.45% -0.46% 0.11% 1.42% -4.69% 0.73%
Broad Commodities (DJP) +0.28% 0.71% 4.36% 10.28% 18.70% 21.15%
Wheat (WEAT) +0.10% 0.14% -4.05% 0.10% -13.40% -12.31%
Gasoline (UGA) +0.09% -1.45% -0.65% 1.79% 4.73% 8.15%
Soybeans (SOYB) +0.09% -1.27% 0.52% 5.67% 8.47% 11.01%
Gold (GLD) +0.06% -0.19% 6.85% 18.50% 59.89% 58.23%
Sugar (CANE) +0.05% -1.59% 4.46% -9.22% -15.97% -23.16%
Copper (CPER) -0.58% 1.73% 7.57% 16.95% 30.52% 25.44%
Platinum (PPLT) -0.94% -1.57% 7.51% 19.84% 80.85% 74.23%
Palladium (PALL) -1.78% -0.11% 4.09% 28.99% 58.38% 46.99%
Silver (SLV) -2.47% 1.07% 21.10% 40.16% 96.58% 81.42%

Cryptocurrency

Crypto markets were muted. Bitcoin (IBIT) pulled back slightly by -0.44%, while Ethereum (ETHA) outperformed with a modest +0.21% gain.

Asset (Ticker) 1 Day WTD 1 Month 3 Month YTD 1 Year
XRP -4.22% -3.31%
Solana (SOLZ) -0.93% 2.59% -8.99% -32.96%
Bitcoin (IBIT) -0.44% 1.86% -8.17% -15.78% -1.02% -6.93%
Multi-Coin (NCIQ) -0.40% 0.79% -8.07% -19.54%
Ethereum (ETHA) +0.21% 3.57% -2.10% -26.41% -6.01% -19.53%

What to Watch Today

All eyes turn to the November Employment Report released this morning, the final major data point before the Federal Reserve’s December meeting. Investors are closely watching Non-farm Payrolls and the Unemployment Rate for signs of labor market cooling that could cement expectations for a rate cut. A softer-than-expected number would likely bolster the case for policy easing, while a surprisingly strong report could reintroduce volatility into the rate outlook.

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.