The Dow Jones Industrial Average halted its 10-day winning streak, its best run since 1996, as investors curbed bullish momentum following a disappointing U.S. economic report. The Thomson Reuters/University of Michigan consumer-sentiment index was reported to have fallen in March, dropping to its lowest level since December of 2011; consumers’ optimism for the economic environment over the year ahead also worsened. In other economic news, the Federal Reserve Bank of New York’s Empire State index showed a modest expansion of manufacturing activity in the region, but less than expected. In separate reports, the consumer price index and industrial production both came in better-than-expected [see Free Member Report: How To Pick The Right ETF Every Time].
Following a disappointing consumer sentiment report, all three major U.S. equity indexes stumbled to close in negative territory. The Dow Jones Industrial Average ETF (DIA, A) slipped 0.14%, as its underlying index snapped its record 10-day winning streak. The S&P 500 ETF (SPY, A) fell 0.13%, while the tech-heavy Nasdaq ETF (QQQ, A-) slid 0.28% lower.
In Europe, markets were mostly lower with the Stoxx Europe 600 cooling off from yesterday’s record close. Meanwhile, Asian markets were higher. Japan’s Nikkei Stock Average rallied 1.5% after the Japanese government raised its assessment on the country’s economy. China’s Shanghai Composite inched 0.36% higher, while Australia’s S&P ASX Index jumped 1.7%.
Bond ETF Roundup
U.S. Treasury prices rose today following a worse-than-expected report on consumer sentiment. Yields on 10-year notes fell 3 basis point, while 5-year note and 30-year bond yields fell 4 and 1 basis points, respectively [see also Seven Simple & Cheap ETF Model Portfolios].
Pressure from a drop in consumer sentiment and a weaker dollar had crude futures rising today. Natural gas futures also rallied for their fourth straight weekly gain, following yesterday’s data showing tighter U.S. supplies. Meanwhile, gold futures finished higher.
ETF Chart Of The Day #1: (DFJ)
The Japan SmallCap Fund (DFJ, C+) was one of the best performers today, gaining 1.07% during the session. Following the Japanese government raising its assessment on the country’s economy, this ETF gapped slightly higher at the open. DFJ inched higher throughout the day, eventually settling at $47.27 a share [see Energy Bull ETFdb Portfolio].
ETF Chart Of The Day #2: (XLP)
The Consumer Staples Select Sector SPDR ETF (XLP, A) was one of the weaker performers today, shedding 0.93% during the session. Consumer shares were among today’s worst performers following the disappointing consumer sentiment report. As such, this ETF gapped significantly lower at the open. XLP slid sideways for the remainder of the day, eventually settling at $55.84 a share [see Consumer Centric ETFdb Portfolio].
ETF Fun Fact Of The Day
The best-performing themed strategy over the trailing 13-week period has been the High Tech ETFdb Portfolio, which has gained 11.34%.
Disclosure: No positions at time of writing.