Wall Street Retreats As Inflation Worries Mount, 5 ETFs That Stood Strong Last Week

Wall Street took a step back from record highs last week as inflation concerns and a weaker consumer spending outlook weighed on markets.

Walmart's downbeat profit forecast sent its stock tumbling, while the Federal Reserve made it clear that it needs more proof of cooling inflation before considering rate cuts.

Meanwhile, Chinese tech stocks had a strong week, led by Alibaba, as investors bet on policy easing from China's central bank.

Amid the market's mixed performance, several ETFs stood out with impressive gains. Here they are:

1. United States Natural Gas Fund LP UNG

• Weekly Gains: 20.33%
• Focus: Aims to mirror the daily price movements of natural gas. 
• Expense Ratio: 1.01%

Also Read: Top Wall Street Forecasters Revamp Occidental Petroleum Price Expectations Ahead Of Q4 Earnings

2. ProShares Ultra Bloomberg Natural Gas BOIL

• Weekly Gains: 25.64%
• Focus: Aims to achieve daily results corresponding to two times the daily performance of the Bloomberg Natural Gas Subindex.
• Expense Ratio: 1.61%

3. Breakwave Dry Bulk Shipping ETF BDRY

• Weekly Gains: 25.64%
• Focus: Offers exposure to dry bulk shipping, aiming to profit from gains in freight futures beyond what is already priced in.
• Expense Ratio: 3.50%

4. Defiance Daily Target 2X Long SMCI ETF SMCX

• Weekly Gains: 120.33%
• Focus: Aims leveraged results of two times the daily percentage change Super Micro Computer, Inc. SMCI.
• Expense Ratio: 1.29%

5. Direxion Daily Semiconductor Bull 3x Shares SOXL

• Weekly Gains: 14.27%
• Focus: Aims daily results of 300% of the performance of the NYSE Semiconductor Index.
• Expense Ratio: 0.92%

What Happened In The Market Last Week?

Natural gas prices rebounded on expectations of higher demand and supply constraints. Reuters reported that according to Energy Information Administration data, U.S. crude oil stockpiles rose a little more than anticipated and fuel inventories dropped last week due to seasonal maintenance at refineries.

On the stock side, Super Micro Computer jumped 16.5% after releasing strong preliminary Q1 results and reassuring investors about its delayed financial filings.

Jet.AI Inc. JTAI soared 69% after announcing plans for a massive AI data center in Nevada, tapping into the growing demand for AI infrastructure.

In the U.S. and Canada, 10-year government bond yields surged in mid-January due to strong economic data, inflation uncertainty, and expectations that the Fed would limit rate cuts in 2025, according to Edward Jones. However, in recent weeks, yields have stabilized and started to decline.

With inflation still a big concern and earnings sending mixed signals, investors are keeping a close eye on economic data and any hints about future Fed policy moves.

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