ETF Scorecard – August 29th Edition

Major equity indexes inched higher during the week but gave into some light profit-taking pressures as Labor Day weekend approached. A lack of noteworthy developments overseas coupled with solid economic data releases at home left the doors open for the bulls; better-than-expected durable goods, consumer confidence, and an upbeat revision to U.S. GDP welcomed buyers during the week and kept the bears at bay [see also How the Homebuilders ETF Reacts to New Home Sales]. 

To help investors keep up with markets, we present our ETF Scorecard, which takes a step back and looks at how various asset classes across the globe are performing. For most of the return comparisons below, we reference trailing 1-week and trailing 1-month returns; this offers a good insight into the prevailing sentiment in the markets by capturing the performances across short-term and longer-term time intervals [for more ETF news and analysis subscribe to our free newsletter].

Risk Appetite Review

“Risk On” sentiment prevailed as evidenced by High Beta stocks leading the way and Low Volatility stocks lagging in negative territory: 

    
      google.load('visualization', '1', {packages: ['corechart']});
    
    
      function drawVisualization() {
        // Create and populate the data table.
        var data = google.visualization.arrayToDataTable([
          ['Ticker', '5-Day Return', {role: 'style'}], 
          ['S&P 500 (SPY)', 0.32, 'blue'],
      ['Equal Weight (RSP)', 0.32, 'orange'],
      ['High Beta (SPHB)', 0.59, 'red'],
      ['Low Volatility (SPLV)', -0.03, 'green'],
      
      
      
        ]);
           
        
         var formatter = new google.visualization.NumberFormat(
                      {suffix: "%"});
                    formatter.format(data,1);
      
        
        
        // Create and draw the visualization.
        new google.visualization.BarChart(document.getElementById('visualization103435')).
            draw(data,
                 {title:"Comparing Risk Preferences",
                  width:700, height:400,
                  vAxis: {title: ""},
                  
                  hAxis: {title: ""}}
            );
      }
      

      google.setOnLoadCallback(drawVisualization);
    
Major Index Review

Aside from Developed Markets, all other major equity indexes are now in positive territory from both a weekly and monthly performance perspective: 

    
      google.load('visualization', '1', {packages: ['corechart']});
    
    
      function drawVisualization() {
        // Create and populate the data table.
        var data = google.visualization.arrayToDataTable([
          ['Index', '1-Week Return', '1-Month Return'],
 ['S&P 500 (SPY)', 0.32, 3.65],
['Nasdaq 100 (QQQ)', 0.52, 4.62],
['Dow 30 (DIA)', 0.35, 3.5],
['Russell 2000 (IWM)', 0.62, 4.24],
['Developed Markets (EFA)', -0.07, 0.23],
['Emerging Markets (EEM)', 0.58, 2.99],





      
      
      
      
      
        ]);
       var formatter = new google.visualization.NumberFormat(
                      {suffix: "%"});
                    formatter.format(data,1);
              formatter.format(data,2);
             
        
        
           var options = {
                  title:"Comparing Major Equity Benchmarks",
                  width:700, height:400,
                  hAxis: {title: ""},
                  
         };
      
        // Create and draw the visualization.
        new google.visualization.ColumnChart(document.getElementById('visualization103440')).
            draw(data, options);      
            
      }

      google.setOnLoadCallback(drawVisualization);
    
Domestic Sector Review

Sector returns were largely positive this week, with Industrials being the only group to end up in shallow red territory:

    
      google.load('visualization', '1', {packages: ['corechart']});
    
    
      function drawVisualization() {
        // Create and populate the data table.
        var data = google.visualization.arrayToDataTable([
          ['Index', '1-Week Return', '1-Month Return'],
['Discretionary (XLY)', 0.47, 4.46],
['Financials (XLF)', 0.22, 3.75],
['Energy (XLE)', 0.54, 1.61],
['Utilities (XLU)', 0.99, 4.24],
['Staples (XLP)', 0.33, 4.54],
['Technology (XLK)', 0, 2.82],
['Health Care (XLV)', 1.11, 4.47],
['Materials (XLB)', 0.16, 3.7],
['Industrials (XLI)', -0.5, 4.32],







      
      
      
      
      
      
      
      
      
      
      
        ]);
       var formatter = new google.visualization.NumberFormat(
                      {suffix: "%"});
                    formatter.format(data,1);
              formatter.format(data,2);
             
         var options = {
            title:"Comparing Sectors",
            width:700, height:400,
            hAxis: {title: ""},
            colors: ["purple", "limegreen"]
   };

  // Create and draw the visualization.
  new google.visualization.ColumnChart(document.getElementById('visualization103444')).
      draw(data, options);      
      
}
      

      google.setOnLoadCallback(drawVisualization);
    

Sector Valuations

Given the broad market rally at home, almost all of the sectors saw their pricing multiples expand during the week:

    
      google.load('visualization', '1', {packages: ['corechart']});
    
    
      function drawVisualization() {
        // Create and populate the data table.
        var data = google.visualization.arrayToDataTable([
          ['Index', 'Last Weeks P/E', 'This Weeks P/E'],
['Discretionary (XLY)', 18.86, 18.94],
['Financials (XLF)', 14.77, 15.02],
['Energy (XLE)', 15.6, 15.72],
['Utilities (XLU)', 16.13, 16.18],
['Staples (XLP)', 18.58, 18.67],
['Technology (XLK)', 16.41, 16.52],
['Health Care (XLV)', 17.3, 17.51],
['Materials (XLB)', 19.11, 19.09],
['Industrials (XLI)', 17.16, 17.08],




      
      
      
      
      
      
      
      
      
      
      
        ]);
       
             
        // Create and draw the visualization.
        new google.visualization.ColumnChart(document.getElementById('visualization103446')).
            draw(data,
                 {title:"Valuation Review: Comparing Sector P/E's",
                  width:700, height:400,
                  hAxis: {title: ""}}
            );
      }
      
      
      
      
      
      

      google.setOnLoadCallback(drawVisualization);
    
Foreign Equity Review

On the international front, Brazil led the way higher while Russia came in at the bottom of the barrel in terms of weekly returns:

    
      google.load('visualization', '1', {packages: ['corechart']});
    
    
      function drawVisualization() {
        // Create and populate the data table.
        var data = google.visualization.arrayToDataTable([
          ['Index', '1-Week Return', '1-Month Return'],
['Brazil (EWZ)', 3.37, 8.78],
['Russia (RSX)', -4.36, 1.29],
['India (EPI)', -0.57, 3.65],
['China (FXI)', -0.37, 0.12],
['Japan (EWJ)', -1.58, -1.5],
['Australia (EWA)', 0.33, 2.07],
['Germany (EWG)', 0.1, -0.48],
['United Kingdom (EWU)', 0.54, 0.49],








      
      
      
        ]);
       var formatter = new google.visualization.NumberFormat(
                      {suffix: "%"});
                    formatter.format(data,1);
              formatter.format(data,2);
             
          var options = {
            title:"",
            width:700, height:400,
            title: "Geographic Review: Comparing Single Countries",
            colors: ["green", "orange"]
   };

  // Create and draw the visualization.
  new google.visualization.ColumnChart(document.getElementById('visualization103449')).
      draw(data, options);      
      
}
      

      google.setOnLoadCallback(drawVisualization);
    

Regional Valuations

Regional P/Es expanded across the board over the past week: 

  google.load('visualization', '1', {packages: ['corechart']}); function drawVisualization() { // Create and populate the data table. var data = google.visualization.arrayToDataTable([ ['Index', 'Last Weeks P/E', 'This Weeks P/E'], ['United States (SPY)', 16.61, 16.72], ['ex-U.S. (CWI)', 13.92, 14.11], ['Asia Pacific (GMF)', 13.06, 13.11], ['Dev. Europe (FEZ)', 13.89, 14.4], ['Em. Europe (GUR)', 7.25, 7.37], ['Latin America (GML)', 14.44, 14.83], ['Middle East & Africa (GAF)', 15.85, 15.98], ]); // Create and draw the visualization. new google.visualization.ColumnChart(document.getElementById('visualization103451')). draw(data, {title:"Valuation Review: Comparing Regional P/E's", width:700, height:400, hAxis: {title: ""}} ); } google.setOnLoadCallback(drawVisualization);

Alternatives Review

Commodities

Natural gas and agricultural prices were the biggest gainers during the past week: 

// 
// 

Currencies

On the currency front, the Aussie dollar was the biggest winner while the euro turned in the worst performance from a weekly perspective: 

   // //

*All data as of market close 8/28/2014.

Follow me on Twitter @Sbojinov

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Disclosure: No positions at time of writing.

Click here to read the original article on ETFdb.com.