ETF Scorecard – June 20th Edition

by on June 20, 2014 | ETFs Mentioned:

Major equity indexes quietly kicked off the week, as many kept a close watch on Iraq while the mid-week Fed meeting took center stage at home. Much to the bears’ growing frustrations, policymakers didn’t drop any hints of an earlier-than-expected rate hike, and as such, equity markets took the opportunity to continue their stellar rally. On the data front, industrial production improved, as did the home builders’ index, although housing starts slowed down slightly from the previous month. 

To help investors keep up with markets, we present our ETF Scorecard, which takes a step back and looks at how various asset classes across the globe are performing. For most of the return comparisons below, we reference trailing 1-week and trailing 1-month returns; this offers a good insight into the prevailing sentiment in the markets by capturing the performances across short-term and longer-term time intervals [for more ETF news and analysis subscribe to our free newsletter].

Risk Appetite Review

The bulls returned to the market, although their risk appetite wasn’t as welcoming as some might have expected amid the gains; Low-Volatility stocks took the lead while their riskier counterparts trailed closely behind. 

Major Index Review

U.S. small caps made the top of the weekly performance list again while the rest of the indexes all trailed behind with positive returns: 

Domestic Sector Review

Every sector posted positive returns over the last week, although Utilities took the lead by far, followed by Energy: 

Sector Valuations

Sector valuations improved for the most part over the past week; Utilities saw the biggest expansion in its pricing-multiple, followed by Energy:

Foreign Equity Review

On the international front, Japanese equities rallied after the Bank of Japan expanded its stimulus efforts, while profit-taking pressures knocked India into negative territory for the week: 


Regional Valuations

Pricing-multiples for the various regions were mixed over the past week; valuations for the domestic market inched higher, while foreign markets saw slight contractions: 

Fixed-Income Review

Bond yields didn’t move much thanks to back-and-forth trading in the fixed income market before and after this week’s FOMC decision: 

Alternatives Review


Precious metals were the biggest winners this week as buyers returned following the FOMC decision, perhaps suggesting that policymakers undermined the threat of inflation: 


The British pound took the lead over the past week while the U.S. dollar sank into negative territory after the Federal Reserve offered no hints of an earlier-than-expected rate hike:

*All data as of market close 6/19/2014.

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Disclosure: No positions at time of writing.