By Daniela Pylypczak
Today was yet another roller coaster ride for markets; equities quickly sold off the previous session's gains in the morning, only to claw back towards positive territory, then finally tumble into the red yet again at closing. Sour U.S. retail sales data coupled with ongoing eurozone worries quickly eroded investors' confidence in the push towards a global economic recovery; the Dow Jones Industrial Average shed 77.42 points or 0.62%, while the S&P 500 fell 0.7%, and Nasdaq settled at the bottom of the barrel with a 0.86% loss.
U.S. retail sales fell yet again in May, slipping 0.2% and prompting the first string of declines in nearly two years. Although this latest report paints a rather grim picture for the consumer discretionary sector, automobile sales were reported to be up 0.8% as Americans bought 1,334,600 new vehicles in the month of May. While investors digest the latest U.S. data, they will continue to keep a close eye on the eurozone as the Spanish bailout plan continues to unfold and Greece prepares for its elections this coming weekend.
The Barclays iPath S&P 500 VIX Short-Term Futures ETN (VXX) was one of the best performers, gaining 5.15% on the day. VXX gapped higher at the start of the trading session only to charge even higher after a slight mid-morning dip. Higher levels of volatility prompted by sour U.S. data and continuing eurozone drama bolstered this ETF to close near its high today just shy of $20.93 a share.
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The State Street SPDR Homebuilders ETF (XHB) was one of the worst performers, shedding 2.20% on the day. As fear and uncertainty crept back into the markets, this ETF slid lower as investors shied away from riskier asset classes, shifting exposure towards "safer" segments of the market, including U.S. Treasuries.
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Disclaimer: ETF Database is not an investment advisor, and any content published by ETF Database does not constitute individual investment advice. The opinions offered herein are not personalized recommendations to buy, sell or hold securities. From time to time, issuers of exchange-traded products mentioned herein may place paid advertisements with ETF Database. All content on ETF Database is produced independently of any advertising relationships.
