Macro Overview
U.S. equity markets experienced a notable divergence on March 24, as inflationary pressures fueled a rally in real assets while weighing heavily on high-duration technology shares. The S&P 500 (IVV) slipped -0.32% on the day, struggling against a significant -0.88% decline in the large-cap growth style box. Broad Commodities (DJP) served as the primary outlier, surging 1.49% as energy and industrial metal prices accelerated. Emerging Markets (EEM) faced the steepest losses among major indices, falling -1.38% amid weakness in Asian semiconductor hubs. Fixed income markets remained under pressure with the Taxable Core Bond index (AGG) declining -0.27% as yields moved higher across the curve.
U.S. Size & Style
Value-oriented strategies significantly outperformed their growth counterparts during Tuesday’s session, continuing a trend of cyclical re-rating. While the S&P 500 Value index (IVE) posted a modest gain of 0.26%, small-cap value (IJS) led the size spectrum with a robust 0.97% daily advance. In contrast, the large-cap growth segment (IVW) lagged the broader market, as investors rotated away from secular winners in the face of rising cost-of-capital concerns. Mid-cap equities showed relative strength, with the S&P MidCap 400 (IJH) climbing 0.82%, supported by domestic industrial and energy exposure.
| Name (Ticker) | 1-Day % Change | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|
| Large Value (IVE) | 0.26% | -4.55% | -1.50% | -0.50% | 11.46% |
| Large Cap (IVV) | -0.32% | -4.71% | -5.11% | -3.94% | 15.19% |
| Large Growth (IVW) | -0.88% | -4.86% | -8.27% | -6.97% | 18.47% |
| Mid Value (IJJ) | 0.78% | -6.23% | -1.30% | 0.32% | 9.38% |
| Mid Cap (IJH) | 0.82% | -5.21% | 0.69% | 2.71% | 13.77% |
| Mid Growth (IJK) | 0.76% | -4.27% | 2.59% | 4.93% | 17.95% |
| Small Value (IJS) | 0.97% | -4.50% | 2.03% | 3.79% | 18.88% |
| Small Cap (IJR) | 0.72% | -4.78% | 0.67% | 3.15% | 16.16% |
| Small Growth (IJT) | 0.50% | -5.16% | -0.76% | 2.37% | 13.52% |
U.S. Sectors & Industries
The Energy Sector (XLE) dominated performance leaders with a 2.03% gain, pushing its 14-day RSI into overbought territory at 80.70. Materials (XLB) followed closely with a 1.89% advance, driven by strength in metals and mining sub-sectors. Conversely, growth-sensitive sectors saw significant selling pressure, with Communication Services (XLC) dropping -1.40% and approaching oversold conditions with an RSI of 29.56. Health Care (XLV) and Real Estate (XLRE) also signaled extreme technical fatigue, showing RSIs of 25.93 and 26.70, respectively.
| Name (Ticker) | 1-Day % Change | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|
| Energy (XLE) | 2.03% | 11.13% | 38.01% | 36.96% | 35.27% |
| Materials (XLB) | 1.89% | -8.80% | 6.16% | 7.30% | 14.14% |
| Utilities (XLU) | 0.69% | -3.81% | 6.05% | 6.35% | 18.62% |
| Industrials (XLI) | 0.58% | -7.08% | 4.42% | 6.02% | 23.75% |
| Financial (XLF) | 0.02% | -2.84% | -11.12% | -9.56% | -0.23% |
| Health Care (XLV) | 0.01% | -7.91% | -6.69% | -6.08% | 0.15% |
| Consumer Staples (XLP) | -0.09% | -9.11% | 4.41% | 5.00% | 4.98% |
| Consumer Discretionary (XLY) | -0.40% | -2.00% | -10.36% | -7.97% | 8.21% |
| Technology (XLK) | -0.58% | -2.85% | -6.82% | -5.32% | 25.83% |
| Real Estate (XLRE) | -0.81% | -7.25% | 0.29% | 0.52% | -0.34% |
| Communication Services (XLC) | -1.40% | -4.03% | -5.60% | -5.30% | 13.99% |
Global Thematic
Thematic performance bifurcated sharply as natural resource themes thrived while software and internet innovations plummeted. The S&P Metals & Mining ETF (XME) surged 3.10% to lead the group, followed by a strong rebound in Green Energy (QCLN) at 2.43%. Conversely, Cloud Computing (WCLD) and Cybersecurity (WCBR) were the day’s primary laggards, both surrendering over 4.5%. This shift underscores a broad de-risking event within the disruptive technology space as investors seek tangible asset exposure.
| Name (Ticker) | 1-Day % Change |
|---|---|
| Leaders | |
| S&P Metals & Mining (XME) | 3.10% |
| Nasdaq Clean Edge Green Energy (QCLN) | 2.43% |
| Silver Miners & Physical Silver (SLVR) | 2.19% |
| S&P Kensho Clean Power (CNRG) | 2.18% |
| ALPS Clean Energy (ACES) | 2.17% |
| Laggards | |
| Cloud Computing Fund (WCLD) | -4.98% |
| Cybersecurity Fund (WCBR) | -4.55% |
| Blockchain and Tech (IBLC) | -4.52% |
| Blockchain & Fintech Innovation (ARKF) | -4.37% |
| Digital Transformation (DAPP) | -4.13% |
Developed ex-U.S. & Emerging Markets
International markets traded with high volatility as regional headlines influenced country-specific flows. Mexico (EWW) provided a rare bright spot in the emerging space, gaining 1.91% as manufacturing data suggested continued resilience. However, South Korea (EWY) tumbled -3.78% and India (INDA) fell -2.60%, reflecting broader weakness across Asian industrial benchmarks. Developed European markets like Germany (EWG) and France (EWQ) also underperformed, dropping nearly 1% each as regional energy costs remained a concern.
| Name (Ticker) | 1-Day % Change | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|
| Developed ex-U.S. | |||||
| Australia (EWA) | -1.89% | -6.83% | 3.61% | 5.23% | 20.09% |
| Canada (EWC) | -0.26% | -5.37% | -0.95% | 0.28% | 32.33% |
| France (EWQ) | -0.93% | -10.88% | -5.65% | -5.67% | 6.62% |
| Germany (EWG) | -0.94% | -11.38% | -8.50% | -8.35% | 4.11% |
| Hong Kong (EWH) | 0.67% | -5.93% | 3.30% | 6.02% | 33.92% |
| Japan (EWJ) | -0.32% | -8.71% | 2.81% | 3.15% | 22.43% |
| Netherlands (EWN) | 0.16% | -8.13% | 1.37% | 1.49% | 26.01% |
| South Korea (EWY) | -3.78% | -10.93% | 36.10% | 32.43% | 129.77% |
| Switzerland (EWL) | -0.19% | -11.57% | -5.30% | -4.40% | 10.42% |
| U.K. (EWU) | -0.36% | -7.46% | 0.73% | 0.95% | 23.07% |
| Emerging Markets | |||||
| Brazil (EWZ) | -0.49% | -7.09% | 16.61% | 15.42% | 47.68% |
| China (MCHI) | 0.09% | -7.93% | -8.20% | -7.37% | 2.27% |
| India (INDA) | -2.60% | -11.92% | -14.11% | -14.17% | -10.99% |
| Indonesia (EIDO) | -1.04% | -14.93% | -17.15% | -18.34% | 3.21% |
| Malaysia (EWM) | -1.73% | -3.63% | 4.48% | 5.74% | 30.49% |
| Mexico (EWW) | 1.91% | -9.84% | 2.13% | 4.51% | 44.52% |
| South Africa (EZA) | -0.75% | -19.50% | -8.75% | -7.27% | 42.74% |
| Taiwan (EWT) | -1.97% | -6.59% | 13.13% | 11.35% | 46.88% |
| Thailand (THD) | -3.29% | -10.61% | 6.61% | 9.47% | 26.83% |
Fixed Income
Fixed income assets traded lower across nearly all segments as duration risk was penalized by rising inflation expectations. Longer-dated treasuries (SPTL) saw a significant -0.42% daily decline, while high-yield munis (HYD) were the primary laggard, dropping -1.13%. Convertible bonds (CWB) acted as a rare haven within the asset class, gaining 0.27% as they benefited from their equity-like features. Credit spreads remained relatively stable, though broader corporate benchmarks like (SPIB) still posted modest negative returns on the day.
| Name (Ticker) | 1-Day % Change | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|
| Multisector | |||||
| Short-Term (BSV) | -0.18% | -0.96% | -0.13% | -0.22% | 4.19% |
| Core (AGG) | -0.27% | -2.00% | -0.63% | -0.49% | 4.42% |
| Core Enhanced (IUSB) | -0.28% | -2.01% | -0.71% | -0.54% | 4.62% |
| Long-Term (BLV) | -0.26% | -3.75% | -1.69% | -1.08% | 2.38% |
| Government | |||||
| Ultrashort (BIL) | 0.01% | 0.28% | 0.85% | 0.80% | 4.01% |
| Short-Term (SPTS) | -0.14% | -0.53% | 0.15% | -0.02% | 3.83% |
| Intermediate (SPTI) | -0.31% | -1.71% | -0.57% | -0.53% | 4.41% |
| Long-Term (SPTL) | -0.42% | -3.93% | -1.49% | -0.90% | 0.89% |
| Inflation Protected (TIP) | -0.33% | -1.33% | -0.21% | -0.07% | 3.51% |
| Specialty | |||||
| Corporate (SPIB) | -0.18% | -1.61% | -0.53% | -0.50% | 5.43% |
| High Yield (HYG) | -0.34% | -1.55% | -0.85% | -0.84% | 5.62% |
| Bank Loans (BKLN) | -0.10% | 0.96% | -0.94% | -1.08% | 5.51% |
| Preferred Stock (PFF) | -0.03% | -3.85% | -1.47% | -1.03% | 2.88% |
| Convertible (CWB) | 0.27% | -1.89% | 2.71% | 4.48% | 20.01% |
| Mortgage Backed (MBS) | -0.33% | -2.07% | -0.56% | -0.35% | 5.63% |
| International & EM | |||||
| International USD (BNDX) | -0.37% | -2.37% | -0.79% | -0.58% | 2.78% |
| International Local (IGOV) | -0.46% | -3.91% | -1.82% | -1.42% | 5.16% |
| Emerging USD (EMB) | -0.51% | -3.77% | -2.25% | -1.98% | 8.31% |
| Emerging Local (EMLC) | -0.83% | -5.00% | -2.16% | -2.09% | 11.55% |
| Municipals | |||||
| Short-Term (SUB) | -0.26% | -0.78% | 0.19% | 0.08% | 3.27% |
| Intermediate (MUB) | -0.70% | -2.53% | -0.68% | -0.82% | 3.38% |
| Long-Term (MLN) | -0.60% | -2.12% | -1.08% | -0.68% | 3.14% |
| High Yield (HYD) | -1.13% | -2.83% | -1.84% | -1.94% | 0.69% |
Commodities
Commodities were the clear leader in global performance as energy supply concerns pushed crude oil benchmarks sharply higher. Gasoline (UGA) led the complex with a 4.63% one-day rally, while Brent crude (BNO) climbed 3.80% on the session. Agriculture (DBA) also contributed to the inflation narrative, with Sugar (CANE) soaring 2.01%. Precious metals were more tempered as Gold (GLD) rose a marginal 0.02%, unable to capitalize fully on the inflationary backdrop due to a firmer dollar environment.
| Name (Ticker) | 1-Day % Change | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|
| Broad Commodities (DJP) | 1.49% | 10.03% | 20.60% | 22.81% | 32.88% |
| Agriculture | |||||
| Broad (DBA) | 0.19% | 3.38% | 4.83% | 5.37% | 4.40% |
| Corn (CORN) | 0.00% | 5.23% | 2.43% | 4.40% | -2.22% |
| Soybeans (SOYB) | -0.54% | 2.08% | 7.51% | 10.06% | 13.76% |
| Wheat (WEAT) | 0.09% | 3.80% | 10.89% | 13.67% | -5.61% |
| Sugar (CANE) | 2.01% | 14.31% | 7.79% | 9.28% | -14.03% |
| Energy | |||||
| Broad (DBE) | 3.58% | 43.59% | 63.23% | 65.70% | 58.04% |
| WTI Crude (USO) | 3.60% | 41.83% | 63.16% | 65.62% | 52.96% |
| Brent Crude (BNO) | 3.80% | 46.56% | 73.14% | 75.49% | 64.68% |
| Nat Gas (UGA) | 4.63% | 38.97% | 57.12% | 60.78% | 60.16% |
| Industrial Metals | |||||
| Broad (DBB) | -0.35% | -5.28% | 1.70% | -0.74% | 18.54% |
| Copper (CPER) | -0.54% | -8.13% | -2.49% | -4.61% | 4.74% |
| Precious Metals | |||||
| Broad (DBP) | -0.11% | -15.79% | -3.49% | 0.51% | 53.48% |
| Gold (GLD) | 0.02% | -14.85% | -1.89% | 1.97% | 45.76% |
| Silver (SLV) | 0.77% | -20.40% | -3.48% | -2.28% | 110.11% |
| Platinum (PPLT) | 0.92% | -13.13% | -16.05% | -7.91% | 93.17% |
| Palladium (PALL) | -0.98% | -21.22% | -18.10% | -11.84% | 47.12% |
Cryptocurrency
Digital assets faced broad selling pressure as risk-aversion gripped the high-beta segments of the market. XRP (XRP) was the worst performer among major coins, surrendering -3.36% of its value. Solana (SOLZ) followed closely with a -3.22% drop as the broader altcoin market saw a flight to quality. Bitcoin (IBIT) showed relatively better resilience but still fell -1.92%, struggling to maintain support levels as institutional flows paused during the equities rotation.
| Name (Ticker) | 1-Day % Change | 1 Month | 3 Month | YTD | 1 Year |
|---|---|---|---|---|---|
| XRP (XRP) | -3.36% | 2.04% | -25.17% | -24.37% | N/A |
| Solana (SOLZ) | -3.22% | 12.07% | -27.98% | -29.31% | -44.56% |
| Multi-Coin (NCIQ) | -2.06% | 7.73% | -22.36% | -22.49% | -22.58% |
| Bitcoin (IBIT) | -1.92% | 7.53% | -20.58% | -20.89% | -21.72% |
| Ethereum (ETHA) | -1.90% | 13.83% | -27.97% | -28.80% | 0.88% |
What to Watch Today
Today’s economic focus shifts to the release of the U.S. Import Price Index for February, a key indicator for gauging the intensity of imported inflationary pressures. Market analysts are specifically watching for any acceleration in non-fuel import costs, which could complicate the current disinflationary outlook and influence future monetary policy expectations. Furthermore, the market will monitor the results of the 20-year Treasury bond auction to assess institutional appetite for long-duration risk amidst shifting yield curves. These developments are expected to drive sentiment across currency-hedged international benchmarks and broader fixed-income strategies throughout the session.
