Wall Avenue was muted final week with the S&P 500 gaining 0.02% however the Dow Jones (down 0.5%), the Nasdaq Composite (down 0.4%) and the Russell 2000 (down 0.2%) displaying a downtrend. President Biden is reportedly on the best way to hike the capital acquire tax price within the close to time period.
This in all probability gave approach to some profit-booking whereas reflationary cues elevated benchmark U.S. treasury bond yields final week from 1.58% (firstly of week) to 1.65% (on the finish of the week). General, earnings got here in upbeat with the massive tech earnings overwhelming buyers fully.
Towards this backdrop, beneath we spotlight just a few leveraged ETFs of the final week.
Inverse Gold Miners
Gold costs remained subdued final week due to the spike within the bond yields and the resultant energy within the dollar. Upbeat U.S. financial progress studying of the primary quarter additionally added to the greenback energy. Because of this, gold mining shares nosedived and inverse gold mining ETFs gained. Microsectors Gold Miners -3X ETN GDXD (up 14.8%) and Gold Miners Bear 2X Direxion DUST (up 9.7%) had been among the many winners.
Huge Banks
Financial institution shares held up effectively final week as sturdy family financial savings in Q1 dominated the concern for delinquencies or default on loans within the banking sector. Rising charges additionally helped financial institution shares final week. In any case, banking is an undervalued sector at the moment. Earnings have been upbeat within the sector. A potential rising price setting is one other plus for the banking shares. Microsectors 3X U.S. Huge Banks ETN BNKU added 9% final week (learn: ETF Areas to Win on Smashing Q1 U.S. GDP Progress).
S&P 500
Upbeat knowledge factors, sturdy client financial savings and promising company earnings acted as a tailwind for the high-beta shares. S&P 500 Excessive Beta Bull 3X Direxion HIBL, which selects 100 securities from the S&P 500 Index which have the very best sensitivity to beta over the previous 12 months, gained 7.9% final week.
Pure Gasoline
Pure gasoline costs rose on heat climate forecast that elevated the demand for cooling. In response to the Nationwide Oceanic Atmospheric Administration, warmer-than-normal climate is anticipated to hit many of the United States within the coming days. With provide being flat and demand rising, pure gasoline costs gained. Extremely DJ-UBS Pure Gasoline Proshares BOIL added 7.6% final week.
Inverse Semiconductor
Semiconductor shares had been out of favor final week regardless of the continued chip scarcity. The underlying PHLX Semiconductor Sector Index of the fund SOXS measures the efficiency of the semiconductor sub-sector of the U.S. fairness market. Therefore, Semiconductor Bear 3X Direxion SOXS, which supplies thrice inverse publicity to the mentioned index, gained 7.6% final week.
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PRO-ULT BB NG (BOIL): ETF Analysis Experiences
DIR-D GM BR 3X (DUST): ETF Analysis Experiences
DIR-D SM BR 3X (SOXS): ETF Analysis Experiences
MCRO-US BB I3XL (BNKU): ETF Analysis Experiences
DIR-D SP5HB BL3 (HIBL): ETF Analysis Experiences
MRCO-GM 3X INV (GDXD): ETF Analysis Experiences
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Zacks Funding Analysis
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