U.S. equities ended little changed today as investors digested a slew of corporate news and earnings, as well as Bernanke’s commentary from earlier this week. JPMorgan Chase (JPM) reported earnings and revenue that were well above Wall Street expectations. Wells Fargo & Co. (WFC) also posted better-than-expected results, with profit rising 20% in the second quarter. Shares of Boeing (BA), however, tumbled after a fire broke out at London Heathrow Airport on one of the company’s Dreamliner planes [see The Cheapest ETF for Every Investment Objective].Global Market Overview: ITA Tumbles On Boeing, IYG Rallies
Following today’s upbeat earnings reports, all three major U.S. equity indexes managed to close in positive territory. The Dow Jones Industrial Average ETF (DIA, A) slipped 0.14%, though its underlying index closed up 0.02% after being dragged down by Boeing. The S&P 500 ETF (SPY, A) inched 0.04% higher, while the tech-heavy Nasdaq ETF (QQQ, B+) gained 0.61%.
In Europe, markets erased earlier gains to end lower; the Stoxx Europe 600 slipped 0.1%, snapping a four-day win streak. Meanwhile, Japan’s Nikkei Stock Average rose 0.2%, while China’s Shanghai Composite fell 1.6% after China’s Minister of Finance Lou Jiwei hinted that GDP could fall short of the government’s 7.5% target.
Bond ETF Roundup
U.S. Treasuries traded higher today after Philadelphia Fed President Charles Plosser announced his support for the central bank scaling back its bond-buying program in September. Yields on 10-year notes rose 2 basis points, while 30-year bonds and 5-year note yields rose 1.5 and 3 basis points, respectfully [see also Seven Simple & Cheap ETF Model Portfolios].
Crude oil futures traded higher today, settling above $105 a barrel, posting its third-consecutive week of gains. In other energy trading, natural gas and gasoline futures were also higher. Meanwhile, gold futures traded slightly lower, settling at $1,277.60 an ounce, on a stronger dollar.
ETF Chart Of The Day #1: (ITA)
The U.S. Aerospace & Defense ETF (ITA, A-) was one of the worst performers today, shedding 0.66% during the session. Following news of a fire on one of Boeing’s Dreamliner aircrafts, this ETF took a steep tumble during the afternoon hours. ITA eventually settled at $85.85 a share [see High Tech ETFdb Portfolio].
ETF Chart Of The Day #2: (IYG)
The U.S. Financial Services ETF (IYG, B+) was one of the best performers today, gaining 0.86% during the session. After JPMorgan Chase (JPM) and Wells Fargo & Co. (WFC) posted better-than-expected earnings results, this ETF gapped higher at the open. IYG traded higher throughout the day, eventually settling at $74.89 a share [see Financials Free ETFdb Portfolio].
ETF Fun Fact Of The Day
The best-performing regional strategy year-to-date has been the Global Titans ETFdb Portfolio, which has gained 6.91%.
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Disclosure: No positions at time of writing.
- JPMorgan Chase