South Korea EWY Surged 5.37%

Wednesday reflected a pro-cyclical rotation. South Korea EWY set the tone.

Emerging-market equities led

Movers

Outperformers: South Korea EWY +5.37% (3M: +2.9%), Emg. Markets EEM +1.60% (3M: -0.1%)

Underperformers: Brazil EWZ -1.98% (3M: -8.0%), Utilities XLU -0.84% (3M: -4.2%)

3M Leaderboard

Strong: Energy XLE +16.8%, Taiwan EWT +15.9%, Healthcare XLV +10.3%

Weak: China MCHI -11.6%, China Large Cap FXI -11.1%, Brazil EWZ -8.0%

DAILY · 3M

Duration under pressure

Movers

Outperformers: Short TIPS VTIP +0.10% (3M: +0.3%), High Yield Bonds JNK unch. (3M: -0.9%)

Underperformers: Long Treasuries TLT -0.78% (3M: -1.0%), 7-10yr Treasuries IEF -0.27% (3M: -1.5%)

3M Leaderboard (within FI scale)

Strong: Short TIPS VTIP +0.3%, Short Corporate VCSH -0.1%, Global Bonds BNDX -0.5%

Weak: Preferred Stock PFF -4.1%, EM Sovereign Bonds EMB -1.8%, 7-10yr Treasuries IEF -1.5%

DAILY · 3M

Growth themes led, rate-sensitive areas lagged

Movers

Outperformers: Biotechnology IBB +1.96% (3M: +13.9%), Semiconductors SMH +1.74% (3M: +5.3%)

Underperformers: Clean Energy ICLN -0.69% (3M: -10.9%), Global REITs REET -0.69% (3M: -8.3%)

3M Leaderboard

Strong: Bitcoin Trust IBIT +25.7%, Ethereum Trust ETHA +23.1%, Biotechnology IBB +13.9%

Weak: Clean Energy ICLN -10.9%, Global REITs REET -8.3%, Real Estate VNQ -6.9%

DAILY · 3M

Related

• Tactical Market Trends: Value and Cyclicals Rejoin the Equity Advance
• SPY candlestick signals: forward returns by pattern and sentiment
• Fear and greed: today's market sentiment reading

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.