Market Mayhem: 5 ETFs That Soared Amid Volatility Last Week - Breakwave Dry Bulk Shipping ETF (ARCA:BDRY)

The past week was defined by heightened market volatility, economic warning signals and shifting investor sentiment. Concerns over junk bond spreads, trade tensions and fiscal policies added to uncertainty, while earnings reports triggered significant stock movements. Yet, despite the broader market turbulence, here are 5 ETFs that delivered strong performances last week:

United States Natural Gas Fund LP (NYSE:UNG): Natural gas prices surged on colder-than-expected weather and supply constraints, boosting UNG.

Weekly Gains: 12.42%

Focus: Invests primarily in natural gas futures contracts.

Expense Ratio: 1.06%

KraneShares SSE Star Market 50 Index ETF (NYSE:KSTR): Chinese tech stocks rebounded after regulatory easing and stimulus measures, lifting this ETF, which tracks the top 50 stocks on China's STAR Market.

Weekly Gains: 8.19%

Focus: Aims to mirror the performance of the Shanghai Stock Exchange (SSE) Science and Technology Innovation Board 50 Index (STAR 50 Index).

Expense Ratio: 0.89%

Breakwave Dry Bulk Shipping ETF (NYSE:BDRY): Global shipping rates climbed due to supply chain disruptions and increased demand for dry bulk commodities, helping BDRY post strong gains.

Weekly Gains: 12.06%

Focus: Aims to mirror the daily price movements of the near-expiry dry bulk freight futures, offering exposure to dry bulk freight without the need for a futures account.

Expense Ratio: 3.50%

Direxion Daily Crypto Industry Bear 1X Shares (NYSE:REKT): As cryptocurrency markets tumbled, REKT, which profits from declines in crypto-related stocks, soared amid Bitcoin's dip below $80,000 on Friday, before Trump’s strategic crypto reserve announcement on Sunday, that sent Bitcoin to recover those losses and then gain some more.

Weekly Gains: 11.95%

Focus: Seeks 200% of the performance of the Solactive Distributed Ledger & Decentralized Payment Tech Index, daily.

Expense Ratio: 0.45%

Defiance Daily Target 2X Long SMCI ETF (NASDAQ:SMCX): Leveraged exposure to Super Micro Computer (NASDAQ:SMCI) proved beneficial as the stock surged more than 20% following its long-awaited financial filings with the SEC.

Weekly Gains: 32.18%

Focus: Aims for 200% of the performance of the share price of Super Micro Computer, daily.

Expense Ratio: 1.29%

Also Read: Bitcoin, Ethereum, XRP Consolidate After Trump Strategic Reserve Announcement

A Glimpse Into The Past Week

Otavio Costa, a macro strategist at Crescat Capital, raised concerns about the prolonged period of low junk bond spreads, which have remained below 3% for over 100 days. He pointed out that similar conditions in May 2007 preceded the financial crisis.

Meanwhile, Warren Buffett issued a stark warning on America's fiscal deficit, emphasizing that the current trajectory is unsustainable. He noted that corporate taxes may need to rise in response to mounting government debt, adding to concerns about the economic outlook.

The mortgage market saw some relief as 30-year fixed mortgage rates fell to 6.88%, down from 6.93%, reaching their lowest level since December 2024. However, despite lower rates, home loan demand remained weak, signaling continued uncertainty in the housing sector.

Tom Lee, Head of Research at Fundstrat Global Advisors, suggested that U.S. equities might be approaching their lowest levels for the first half of 2025.

Escalating trade tensions weighed heavily on global markets. President Donald Trump's announcement of new tariffs on imports from Canada, Mexico and China triggered a broad selloff, erasing the S&P 500's gains for the year. Tech stocks were among the hardest hit, with Nvidia (NASDAQ:NVDA) leading a semiconductor sector downturn following weaker-than-expected earnings.

The cryptocurrency markets where in a turmoil as Bitcoin fell below $80,000, reflecting investor anxiety.

The fintech sector saw a major shakeup as Block Inc. (NYSE:XYZ) plunged 18%, its worst single-day drop since March 2020, following mixed Q4 results.

Super Micro Computer surged more than 20% after filing delayed reports with the SEC.

The market remained volatile as economic warning signals flashed and investor sentiments stayed at alarming lows. The coming weeks will be crucial in finding out whether the recent turbulence is a temporary correction or the start of a broader market downturn.

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