It was all smiles on Wall Street Wednesday, as the Dow Jones Industrial Average closed above 10,000 for the first time since October 3, 2008. But it seems that whatever the U.S. can do, the rest of the world can do better. The Dow Diamonds ETF (DIA) gained 1.4% in Wednesday’s session, but lagged behind many international funds that also saw big jumps. The iShares Emerging Markets Index Fund (EEM) gained 3.2%, led higher by sizable gains for Chinese and Brazilian equities. After a brief pause yesterday, the iShares MSCI Brazil Index (EWZ) continued its skyward trajectory. EWZ has posted gains in eight of its last nine sessions, and is up almost 15% since Rio was named the winner of the 2016 Olympics.
The ETFdb 60 Index, a benchmark measuring the universe of investable assets available through ETFs, gained 1.1% to close at $1,022.68. Led by EWZ, winners outnumbered losers by more than three-to-one on the day, as 45 components finished up compared to only 13 down. Aggregate volume for the components of the ETFdb 60 Index was moderate at nearly 800 million shares.
Wednesday’s decliners were led by the United States Natural Gas Fund (UNG, down 2.7%) and the iPath S&P 500 VIX Short-Term Futures ETN (VXX, down 2.7%), two funds that have plummeted in recent weeks as stocks headed higher. Expectations for mild weather and reaching storage capacity continue to weigh on natural gas prices, as do fears over the fallout from upcoming regulatory changes.
Disclosure: No positions at time of writing.