Below is a look at the recent performance of various asset classes using key ETFs traded on US exchanges. As shown, stocks have gotten smoked over the last week, causing many US indices to turn red for the month of April. Smallcaps have gotten hit the hardest, falling 4% over the last 5 trading days to finish April down 2.56%. This has caused the Russell 2,000 to give up all of its 2015 outperformance versus the largecap S&P 500.
Looking at sectors, Energy and Materials are the only bright spots right now. If the action we’ve seen over the last couple of days continues, it won’t be long before Energy is the best performing sector on a year-to-date basis. While Energy is rallying, former market-leader Health Care is falling apart. The XLV Health Care ETF is down 3.91% over the last week, which is by far the worst of any sector.
Things haven’t been nearly as bad outside of the US. Aside from India (-5.44%), the rest of the world has held up okay over the last week. And for the month, countries like Brazil (EWZ), China (FXI), and Russia (RSX) finished up more than 15%.
As equities have fallen, commodities have rallied. Oil and natural gas were both up big during the final week of April, and oil is now up on the year! Meanwhile, Treasury ETFs fell in April as interest rates rose. While Treasuries are still up on the year, they’re at risk of moving into the red any day now.
April looked to be a strong month for the bulls less than a week ago. By the end of the day today, bulls couldn’t wait for the month to be over.
Don’t forget to sign up for one of our subscription services before prices go up on Monday! Learn more here.