ETF Scorecard – September 5th Edition

by on September 5, 2014 | ETFs Mentioned:

Major equity indexes traded sideways during the shortened week despite a string of upbeat data releases on the home front. Given the steep rise seen throughout August, most benchmarks struggled to inch higher even after good news hit the street; ISM and construction spending came in above expectations on Tuesday, while upbeat factory orders and motor vehicles sales data stole the headlines on Wednesday. Overseas, the European Central Bank surprisingly lowered interest rates again in an effort to spur economic activity in the currency bloc [see also Annual GDP Growth: A Good Predictor of Single-Country ETF Returns?].

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

Bullish pressures were fairly muted over the past week as evidenced by the paltry, but nonetheless positive, gains seen across the board:

Major Index Review

Almost all major equity indexes are now in positive territory when considering their trailing monthly returns and given the rebound seen throughout August:

Domestic Sector Review

The Energy sector was by far the worst performer over the past week, while Financials led the way higher:

Sector Valuations

Given the sideways performance seen throughout the shortened trading week, sector P/Es didn’t move too much, some inching higher while others inched lower:

Foreign Equity Review

On the international front, China led the way higher for the week although Brazil remains in the lead by far when considering monthly returns:

Regional Valuations

Regional P/Es either remained flat or inched higher for the most part:

Alternatives Review


The U.S. dollar rally has served as a major headwind for commodity prices across the board over the last two months:


On the currency front, the U.S. dollar remains the strongest performer while the euro took a hit this week after the ECB announced another rate cut:


*All data as of market close 9/4/2014.

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Disclosure: No positions at time of writing.