Holly & Jolly

Monday, December 19, 2016 – As this is Christmas week and also marks the start of Chanukah, we wish all of our readers and their families and friends the most healthy and happy holidays!

In turning to the market roundup, last week the market started on a good note, however, stocks lost their momentum in reaction to the Federal Reserve’s two-day policy meeting that ended on Wednesday. Obviously, the biggest news of the week was that The Federal Reserve raised short-term interest rates for by 25 basis points. Despite being widely expected and perhaps with the expectation of more raising of interest rates in the next year, stocks started to drop by the end of the week. The US dollar, however, continued to strengthen this week versus most major currencies because of the news. This week the Dow Jones ended up .4%, while the S&P 500 Index and NASDAQ both lost .1%.

A sector analysis of this week shows that Telecommunications and Utilities did the best with a 2.24% and 1.84% return respectively. On the other hand, Industrials and Consumer Discretionary took the biggest hit with -1.62% and -1.35% loss.

The ETF Global Fund Flow analysis breaks down the daily fund flows and shows what funds have the greatest inflows and outflows of money. The top 3 inflows this month are HACW iShares Currency Hedged MSCI ACWI ETF, BSWN, (VelocityShares VIX Tail Risk ETN linked to the S&P 500 VIX Futures Tail Risk, and LSVX, VelocityShares VIX Variable Long/Short ETN linked to the S&P 500 VIX Futures.

While the top 3 funds with the most outflow were QDEU, SPDR MSCI Germany Strategic Factors ETF  FXG, First Trust Consumer Staples AlphaDEX Fund, and DBKO, Deutsche X-trackers MSCI South Korea Hedged Equity ETF.

This week’s Biggest ETFG Quant Movers were IDV, iShares International Select Dividend ETF which gained 11.08 points in our ETFG Quant score, VIOG,  Vanguard S&P small cap 600 Growth ETF, which gained 10.32, and AMJ, JPMorgan Alerian MLP Index ETN, which gained 10.23.

On the other hand our biggest losers for the week were BIGD, Purefunds ISE Big Data ETF which lost 8.36 in our quant score, JPN, Deutsche X-trackers Japan JPX Nikkei 400 ETF which lost 8.16, and GOEX, Global X Gold Explorers which lost 8.13.

This week the ETFG Select List has very minimal movement. Almost every top fund in each category either maintained their position or flip-flopped with number 2. Two exceptions to this were ECH, iShares MSCI Chile Capped ETF, went from 3-1 in the Latin American Category, and XES, SPDR S&P Oil & Gas Equipment & Services ETF in the North America Category.

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