Weekly ETF Returns: 'Momentum' Pullback

April 11, 2014

Momentum ETFs, led by TAN, fell last week as investors were in a selling mood.

Momentum-focused ETFs fell last week as investors bailed out of alternative energy and health care sectors on worries about weak import and export data out of China and signals from Russia that it’s tightening its grip on neighboring Ukraine.

Specifically, the high-flying Guggenheim Solar ETF (TAN | B-37), which gained 128 percent last year, dropped 7.7 percent last week, making it the least popular ETF last week. Also, the PowerShares DWA SmallCap Momentum Portfolio (DWAS | B-52) and the PowerShares DWA Healthcare Momentum Portfolio (PTH) were each down about 7 percent.

The S&P 500 Index fell more than 32 points in the week ended Thursday, April 10, or by nearly 3 percent, from the prior one-week period, to close at 1,833.08.

But the sell-off wasn’t limited to just momentum ETFs.

Japan-focused ETFs, including the db X-trackers MSCI Japan Hedged Equity (DBJP | B-60) and the WisdomTree Japan Hedged SmallCap Equity (DXJS | C-53), were down 7.3 percent and 6.6 percent, respectively.

Investors fretted over signals from the Bank of Japan that it won’t take additional steps in the near term to fuel growth in the world’s third-largest economy. Declines in the U.S. market also sent the Nikkei 225 tumbling more than 7 percent in the past five days.

On the flip side, coffee-related ETNs, including the iPath Dow Jones-UBS Coffee Total Return ETN (JO | B-92) and iPath Pure Beta Coffee ETN (CAFE | B-95), were the two biggest winners last week, gaining 19.2 and 18.1 percent, respectively.

The two ETNs continue to benefit from dry conditions in Brazil and Vietnam, the world’s largest and second-largest producers of coffee, respectively.

Top 10 Weekly Performers, Excluding Leverage/Inverse Funds and <1,000 Shares Traded

Ticker Name Weekly Performance Weekly Volume AUM ($, mm)
JO iPath Dow Jones-UBS Coffee Total Return ETN 19.16% 1,478,395 114.59
CAFE iPath Pure Beta Coffee ETN 18.14% 135,395 9.91
AGF PowerShares DB Agriculture Long ETN 12.46% 106,734 4.11
CVOL C-Tracks Citi Volatility ETN 9.58% 324,999 11.44
JJS iPath Dow Jones-UBS Softs Total Return ETN 8.09% 7,381 17.53
FTW First Trust Taiwan AlphaDEX 6.64% 3,080 1.66
CHIM Global X China Materials 6.25% 12,328 2.25
JJN iPath Dow Jones-UBS Nickel Total Return ETN 6.11% 45,962 7.18
GAZ iPath Dow Jones-UBS Natural Gas Total Return ETN 6.08% 324,392 33.42
VXX iPath S&P 500 VIX Short-Term Futures ETN 5.98% 195,534,634 1,154.34

Bottom 10 Weekly Performers, Excluding Leverage/Inverse Funds and <1,000 Shares Traded

Ticker Name Weekly Performance Weekly Volume AUM ($, mm)
TAN Guggenheim Solar -7.74% 3,518,718 446.80
DBJP db X-trackers MSCI Japan Hedged Equity -7.33% 1,102,572 436.79
DWAS PowerShares DWA SmallCap Momentum -7.02% 2,117,077 585.34
PTH PowerShares DWA Healthcare Momentum -6.94% 306,489 112.25
XBI SPDR S&P Biotech -6.75% 7,184,334 1,103.64
IAI iShares U.S. Broker-Dealers -6.72% 866,922 232.96
DXJS WisdomTree Japan Hedged SmallCap Equity -6.64% 153,055 72.20
KCE SPDR S&P Capital Markets -6.61% 126,371 190.57
KBWR PowerShares KBW Regional Banking -6.57% 41,739 41.90
PBW PowerShares WilderHill Clean Energy -6.54% 1,885,369 227.47

Disclaimer: All data as of 6 a.m. Eastern time the date the article is published. Data is believed to be accurate; however, transient market data is often subject to subsequent revision and correction by the exchanges.

Find your next ETF

Reset All