Pet Care, Food ETFs Gain on Earnings Beats; Bank ETFs Slip

The ProShares Pet Care ETF (PAWZ) climbed 0.8% as Petco shares soared 9.1%. This surge follows Petco’s record-breaking 33% rally on Wednesday after strong post-earnings performance.

The Invesco Dynamic Food & Beverage ETF (PBJ) rose 0.9%, boosted by Kroger’s over 7% gain. Kroger beat earnings expectations by 2 cents per share, despite revenue falling short of estimates.

Biotech ETFs showed resilience despite Moderna’s plunge. The Invesco Nasdaq Biotechnology ETF (IBBQ) edged up 0.4%, while Langar Global HealthTech ETF (LGHT) gained nearly 1.1%. Moderna fell 12.5% after announcing $1.1 billion in expense cuts by 2027 and plans to pause some pipeline products.

Bank ETFs faced pressure as Invesco KBW Bank ETF (KBWB) and First Trust Nasdaq Bank ETF (FTXO) both dropped less than 0.5%. The decline followed news of an enforcement action against Wells Fargo by the Office of the Comptroller of the Currency, citing risk management deficiencies. 

Commodities ETFs jumped and broad stock funds were mixed after producer prices rose faster than expected last month, potentially keeping central bankers on track for a quarter-point rate hike next week.

The United States Oil Fund LP (USO), which tracks near-term oil futures, jumped a second day, adding 3.5%. Hurricane Francine's landfall in Louisiana raised worries that oil fields and refineries would shut and supplies would be pinched.

Other commodities, including silver and gold ETFs, jumped after the release of a report saying that producer prices rose a faster-than-expected 0.2% in August from July. The iShares Silver Trust (SLV) leapt 3.8% while the SPDR Gold Trust (GLD) gained 1.3%.

Stock ETFs wavered as investors weighed market data with an eye toward a modest rate hike. The Fidelity NASDAQ Composite Index ETF (ONEQ), which tracks the tech-heavy Nasdaq index, added 0.3%. The SPDR Dow Jones Industrial Average ETF Trust (DIA), which tracks the 30 biggest stocks on the New York Stock Exchange, fell 0.2%.