This week's highlights
Risk-on sentiment returned last week as U.S.-China trade tensions cooled. Energy and technology sectors outperformed. ETFS S&P Biotech ETF (CURE), NDQ, RBTZ and FUEL were amongst the top performers for the week. China-focused funds (IZZ and CNEW) outperformed following strong economic data. ETFS EURO STOXX 50 ETF (ESTX) returned 3.2% as the UK Parliament voted against a no-deal Brexit.
The U.S. dollar weakened last week with USD, ZUSD and YANK all amongst the poorest performers. Australian banks also underperformed with QFN, OZF and MVB all dropping more than 1%.
Total flows into domestically domiciled ETFs were $165m for the week, while outflows totalled $81m. The biggest inflows were into U.S. equity funds (IVV and IJR) along with global ex-U.S. equities (IVE) and bearish Australian equities (BBOZ). BetaShares Australian High Interest Cash ETF (AAA) saw the bulk of the week’s outflows.
IVV and AAA were the most traded funds last week, while IJR, IVE and UBA saw above average volumes.
ETFS S&P Biotech ETF (CURE) posted a positive return of 4.9% for the week, taking its total return since inception (8 Nov 2018) to 11.5% and its gain from the bottom of the market in December to 38.2%.