Broad-market exchange-traded funds, including IWM and IVV, experienced a downward trend as they marked their declines during trading hours. Notably, the actively traded Invesco QQQ Trust (QQQ) recorded a drop of 0.7%, reflecting the ongoing bearish sentiment in US equity markets. This decline is an extension of the steep losses observed in the preceding session, implying a growing concern among investors.
In the Energy sector, iShares US Energy ETF (IYE) saw a decrease of 0.8%, while the Energy Select Sector SPDR (XLE) fell by 1%, signaling some pressure on energy stocks amid fluctuating oil prices. The Technology sector also felt the brunt of this market pullback. The Technology Select Sector SPDR ETF (XLK) was down 0.9%.
Other technology-focused funds, such as iShares US Technology ETF (IYW) and iShares Expanded Tech Sector ETF (IGM), also saw declines. Market sentiment was particularly bearish for semiconductor stocks, as evidenced by SPDR S&P Semiconductor (XSD) and iShares Semiconductor (SOXX), both dropping 2.2%.
In the Financial sector, the Financial Select Sector SPDR (XLF) declined by 1.3%. Direxion Daily Financial Bull 3X Shares (FAS) experienced a notable dip of 3.9%, while its bearish counterpart, Direxion Daily Financial Bear 3X Shares (FAZ), saw a different trajectory, climbing 3.7% amid the market's volatility.
Turning to commodities, crude oil prices slightly increased by 0.5%, with the United States Oil Fund (USO) reflecting the same uplift. However, natural gas faced pressure, dropping 0.6%, and the United States Natural Gas Fund (UNG) fell 0.7%. Gold maintained its position with a rise of 0.8% on Comex, while SPDR Gold Shares (GLD) increased by 1.1%.
Silver performed even stronger, adding 2%, with the iShares Silver Trust (SLV) achieving a 2.4% rise. In the Consumer sector, the Consumer Staples Select Sector SPDR (XLP) eased 1.4%, and other key indices, such as Vanguard Consumer Staples ETF (VDC) and iShares Dow Jones US Consumer Goods (IYK), recorded declines as well.
The Consumer Discretionary Select Sector SPDR (XLY) dipped 1.6%, while the retail fund VanEck Vectors Retail ETF (RTH) saw a decrease of 0.6%, and SPDR S&P Retail (XRT) recorded a steeper decline of 2.8%. Shifting to Health Care, the Health Care Select Sector SPDR (XLV) was down by 1.5%, with iShares US Healthcare (IYH) and Vanguard Health Care ETF (VHT) also trending lower.
The iShares Biotechnology ETF (IBB) faced a drop of 2.4%, indicating a challenging environment for health-related equities. In the Industrial sector, the Select Sector SPDR-Industrial (XLI) dipped by 1.8%. Vanguard Industrials (VIS) and iShares US Industrials (IYJ) mirrored this trend as they faced losses.
Market participants continue to assess the implications of these movements, especially with indices such as $US30 and $US500 reflecting broader macroeconomic trends..