Daily Movers: Taiwan EWT Sank 2.8%

Friday reflected an Asia-led growth wobble. Taiwan EWT anchored the move lower, and the weakness extended into higher-beta technology exposures. China MCHI fell 2.20%, Semiconductors SMH dropped 2.18%, Ethereum ETHA lost 1.56%, and High Yield HYG edged down 0.19%. Energy XLE rose 1.16%, Gold GLD gained 0.95%, Min Vol EAFE EFAV added 0.88%, and Long Treasuries TLT climbed 0.37%.

Equity: Energy and low-volatility led, Greater China weakness deepened

Movers

Outperformers: Energy XLE +1.16% (3M: +2.7%), Intl Min Vol EFAV +0.88% (3M: -0.2%)

Underperformers: Taiwan EWT -2.83% (3M: +19.6%), China MCHI -2.20% (3M: -9.2%)

3M Leaderboard

Strong: Value Factor VLUE +21.6%, Taiwan EWT +19.6%, US Technology IYW +15.9%

Weak: Copper Miners COPX -14.6%, Brazil EWZ -14.2%, China MCHI -9.2%

Fixed Income: Duration caught a bid, credit lagged

Movers

Outperformers: Long Treasuries TLT +0.37% (3M: -0.9%), TIPS TIP +0.28% (3M: unch.)

Underperformers: High Yield HYG -0.19% (3M: +0.6%), High Yield Bonds JNK -0.10% (3M: +0.9%)

3M Leaderboard (within FI scale)

Strong: High Yield Bonds JNK +0.9%, EM Sovereign Bonds EMB +0.8%, High Yield HYG +0.6%

Weak: Preferred Stock PFF -1.8%, Long Treasuries TLT -0.9%, 7-10yr Treasuries IEF -0.7%

Specialty: Defensive tilt emerged, high-beta names lagged

Movers

Outperformers: Gold GLD +0.95% (3M: -16.3%), Long/Short Equity FTLS +0.21% (3M: +3.8%)

Underperformers: Semiconductors SMH -2.18% (3M: +22.4%), Ethereum Trust ETHA -1.56% (3M: -21.9%)

3M Leaderboard

Strong: Semiconductors SMH +22.4%, Momentum Factor MTUM +11.7%, Biotechnology IBB +9.0%

Weak: Gold Miners GDX -27.0%, Ethereum Trust ETHA -21.9%, Gold GLD -16.3%

Cross-Asset Read

The Asia-led growth wobble framed the cross-asset session, with pressure centered in growth-sensitive equity and specialty exposures while duration and defensive pockets bid. The 3M structure is split: VLUE, EWT, and IYW lead the equity table, SMH and MTUM anchor specialty strength, and JNK sits atop fixed income; Friday broke the standing uptrend in EWT and SMH, while MCHI and ETHA extended their 3M declines. Volatility is selective, with 1 expansion flag in XLV and 6 compression flags in EFA, EFAV, EWG, AGG, BNDX, and EMB; the regime is an Asia-led growth wobble with tighter conditions in defensive and rate-sensitive exposures than in the growth beta cohort.

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.