Best & Worst Monthly Performers: July 20 Edition

Here is a look at the 25 best and 25 worst ETFs from the past week. Traders can use this list to find prospective candidates that have deviated too far from their longer-term trends, thereby serving as potential starting points for those looking to take on either short or long positions.Likewise, traders can also use this list to spot potential trend reversal opportunities that may offer a generous risk/reward. As always, investors of all experience levels are advised to use stop-loss orders and practice disciplined profit-taking techniques.To get access to all ETF Database premium content, sign up for a free 14-day trial to ETF Database Pro.Best Performing ETFsAll the three market indices closed higher on a monthly basis. The last month witnessed investors preparing for a tighter hawkish Fed stance, falling oil and commodity prices, as well as higher inflation data.The list was dominated by healthcare and biotechnology stocks like BioShares Biotechnology Clinical Trials ETF (BBC C), SPDR S&P Biotech ETF (XBI A), Principal Healthcare Innovators Index ETF (BTEC B+), etc. as investors opt for non-cyclical investment avenues given the current uncertain market environment. Healthcare was the best performing sector with more than 5% monthly returns while the biotechnology sector was up ~10%. Stocks gained on the back of a strong drug pipeline, important regulatory updates as well as potential acquisitions in the industry.Several funds focusing on genomics such as Kelly CRISPR & Gene Editing Technology ETF (XDNA ), ARK Genomic Revolution ETF (ARKG A-), and Global X Genomics & Biotechnology ETF (GNOM B) also featured on the list on rising demand for genome sequencing in the wake of new subvariants of Omicron and other viral mutations.Many China focused healthcare ETFs like KraneShares MSCI All China Health Care Index ETF (KURE C), Global X MSCI China Health Care ETF (CHIH ), and China Biotech Innovation ETF (CHB ) ranked among the best performing ETFs after Shanghai reported zero new local COVID cases for the first time in the last two months.Global X Solar ETF (RAYS A-) that tracks the Solactive Solar Index was one of the best performers with over 13% monthly gains as solar and other alternative energy stocks got a boost from volatile fuel prices (in the wake of Russia’s invasion over Ukraine), favorable regulatory developments in the U.S., as well as China’s $220 billion stimulus package to boost its economy. Check out our Alternative Energy ETFs’ List here.To compare this month’s list with the one published on June 22, click here.Worst Performing ETFsSeveral energy ETFs like Invesco Dynamic Energy Exploration & Production ETF (PXE B), SPDR S&P Oil & Gas Exploration & Production ETF (XOP B+), SPDR S&P Oil & Gas Equipment & Services ETF (XES A-) featured on the worst performing ETFs list as energy was the worst performing sector losing more than 19% in the last month. Energy stocks declined on falling oil prices, rising inflation, as well as looming recession fears.Many commodity ETFs such as iPath Series B Bloomberg Cotton Subindex Total Return ETN (BAL B+), Global X Copper Miners ETF (COPX B+), Teucrium Wheat Fund (WEAT C), and iPath Series B Bloomberg Nickel Subindex Total Return ETN (JJN C+) etc. featured on the worst performing ETFs’ list as prices of the most-used commodities fell on rising oil prices, tighter monetary policies, and fears of recession.Breakwave Dry Bulk Shipping ETF (BDRY ) also made it to the list as the demand for dry bulk shipping slows down.iPath Series B Bloomberg Industrial Metals Subindex Total Return ETN (JJM B+) was one of the worst contenders on the list. The overall metals & mining sector suffered a fall of ~18% in the last month on a strong dollar and slower growth. Explore our Metals ETFs’ List here.For more ETF analysis, make sure to sign up for our free ETF newsletter.Please note that this list is updated on a monthly basis.Disclosure: No positions at time of writing.

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