Daily Movers: South Korea EWY Surged 11.5%

Thursday registered a growth-over-defensive extension across regions and assets. South Korea EWY surged 11.48% and Semiconductors SMH climbed 6.75%, reinforcing equity leadership. Copper Miners COPX advanced 7.37%. Consumer Staples XLP slipped 0.26%. On the rates side, Long Treasuries TLT rose 1.30% and Emerging Market Bonds EMB gained 0.96%. EWY is extending a strong 3M uptrend. SMH is extending the same pattern. Vol is expanded in SMH and Taiwan EWT.

Equity: Korea and copper lead, defensives and energy lag

Today's Movers

Leaders: South Korea EWY +11.48% (3M: +61.1%), Copper Miners COPX +7.37% (3M: +4.3%)

Laggards: Energy XLE -1.82% (3M: +0.1%), Consumer Staples XLP -0.26% (3M: +1.8%)

3M Leaderboard

Strong: South Korea EWY +61.1%, Taiwan EWT +46.9%, Value Factor VLUE +38.0%

Weak: China MCHI -5.8%, Utilities XLU -4.6%, Brazil EWZ -3.6%

Fixed Income: Duration bid, munis and short TIPS lag

Today's Movers

Leaders: Long Treasuries TLT +1.30% (3M: unch.), EM Sovereign Bonds EMB +0.96% (3M: +2.9%)

Laggards: Short TIPS VTIP +0.12% (3M: +0.9%), Muni Bonds MUB +0.22% (3M: +0.9%)

3M Leaderboard (within FI scale)

Strong: EM Sovereign Bonds EMB +2.9%, High Yield HYG +2.3%, Preferred Stock PFF +1.9%

Weak: 7-10yr Treasuries IEF -0.4%, Int. Treasuries VGIT -0.3%, 3-7yr Treasuries IEI -0.2%

Specialty: Semis extend, miners bounce against trend

Today's Movers

Leaders: Semiconductors SMH +6.75% (3M: +57.0%), Gold Miners GDX +5.30% (3M: -21.7%)

Laggards: Managed Futures DBMF -0.19% (3M: -0.1%), Real Estate VNQ -0.07% (3M: +7.2%)

3M Leaderboard

Strong: Semiconductors SMH +57.0%, Momentum Factor MTUM +30.9%, Infrastructure PAVE +13.2%

Weak: Gold Miners GDX -21.7%, Ethereum Trust ETHA -18.8%, Gold GLD -17.2%

Notable Setups

Equity Volatility Compression: High Dividend DVY, Dividend Quality SCHD, Dividend Aristocrats SDY

Equity Volatility Expansion: Taiwan EWT, US Technology IYW, Nasdaq 100 QQQ

Specialty Counter-trend rally: Gold Miners GDX (top mover today +5.30%, 3M laggard -21.7%)

Specialty Volatility Expansion: Clean Energy ICLN, Momentum Factor MTUM, Semiconductors SMH

Cross-Asset Read

Growth-over-defensive extension framed the session across regions and assets; cyclical equity leadership aligned with firmer duration and credit. EWY, SMH, and EWT carry the main stress point: EWY and SMH hold the strongest 3M gains, and EWT and SMH remain in vol expansion. The unresolved signal sits in the defensive compression cluster, where DVY, SCHD, and SDY stay in vol compression; resolution there determines whether the growth-over-defensive extension broadens or stays concentrated.

Romain Gandon
CEO, Quantlake

Disclaimer: This article is for informational and educational purposes only and does not constitute investment advice. Past performance is not indicative of future results.