Market Overview

Best And Worst ETFs Of The Week Amid Halloween Highs

Best And Worst ETFs Of The Week Amid Halloween Highs
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The stock market continued to show tremendous resilience this week as better than expected GDP and strong earnings reports bolstered stocks.

The SPDR S&P 500 ETF (NYSE: SPY) moved higher on the last day of October, which coincided with a commitment by Japan’s central bank to increase quantitative easing measures in an effort to revive their stagnant economy.

On an intra-day basis, SPY retested its September highs and appears poised to extend its winning streak into the final months of the year.

The following ETFs represent a sample of the best- and worst-performing funds over the last five trading sessions.

BEST: Small-Cap Technology Stocks

Small-cap stocks have been overlooked for the majority of the year due to their underperformance versus large-cap peers. However, the October rally has been characterized by a return to risk assets that have favored beaten down sectors for a strong rebound.

Related Link: Recent Quantitative ETFs Contend Against Established Favorites

The PowerShares S&P Small Cap Information Technology Portfolio (NASDAQ: PSCT) has been the beneficiary of positive earnings and momentum this week that catapulted it to the top of the ETF charts with a gain of more than 7 percent. PSCT tracks 111 small-growth stocks in the technology and electronics sector.

Standout companies that helped drive gains in this ETF include Tyler Technologies and Maximus Inc. PSCT has $220 million in total assets and charges an expense ratio of 0.29 percent.

WORST: Gold Miners

The price of gold bullion fell to new 2014 lows on Friday, which did significant damage to gold mining stocks. The Market Vectors Junior Gold Miners ETF (NYSE: GDXJ) fell 18 percent over the last five trading days as lower commodity prices continued to send investors heading for the exits.

GDXJ tracks 63 small- and mid-capitalization gold and silver mining companies. These junior miners tend to be more sensitive to industry volatility and as such are experiencing the sharpest drop of the group. The large-cap focused Market Vectors Gold Miners ETF (NYSE: GDX) also fell to new year-to-date lows as well.

The higher-than-average volume and bearish sentiment for gold stocks may indicate that a capitulation-style event is taking place. However, these stocks have yet to signal that a bottom is in place.

Posted-In: Sector ETFs Trading Ideas ETFs Best of Benzinga


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