Top Performing Industry ETFs In June: Software Leads Returns, Chipmakers Attract Most Inflows
Piero Cingari 2 years ago
BiotechEquitiesLarge CapSector ETFsBroad U.S. Equity ETFsHealth CareTop StoriesTechETFs
June saw gains in the U.S. stock market, with tech and biotech leading the way. Semiconductor ETFs saw strong inflows, while utilities lagged.
June closed on a high note for the stock market, with the S&P 500, tracked by the SPDR S&P 500 ETF Trust (NYSE:SPY), gaining 3.2%, despite significant disparities in sector and industry performances.
The technology sector, as tracked by the Technology Select Sector SPDR Fund (NYSE:XLK), led the 11 S&P 500 sectors in performance last month, surging 7.7% and achieving its strongest monthly gain this year.
In stark contrast, utilities lagged, with the Utilities Select Sector SPDR Fund (NYSE:XLU) dropping 6.3%, marking the worst month since September 2023.
Top Performing Industry ETFs In June
The iShares Expanded Tech-Software Sector ETF (NYSE:IGV) rallied 11.3% last month, topping the rankings among industry ETFs.
Hot on its heels was the VanEck Semiconductor ETF (NYSE:SMH), which climbed 8.4%, showcasing strong momentum in the semiconductor sector.
Since hitting its low in October 2023, the VanEck Semiconductor ETF has rallied by an astounding 87%, and over 200% since October 2022, reflecting the spectacular growth in AI-driven stocks.
Securing the third spot in terms of monthly performance, the SPDR S&P Biotech ETF (NYSE:XBI) gained 4%.
Within the software sector, standout performers included Adobe Inc. (NASDAQ:ADBE), which surged by 24.9%, CrowdStrike Holdings, Inc. (NASDAQ:CRWD) with a 22.1% increase, and Oracle Corporation (NYSE:ORCL), up by 20%.
Broadcom Inc. (NASDAQ:AVGO) led chipmakers with a 21% rise. Universal Display Corporation (NYSE:OLED) followed closely with a 19.7% increase, and Qorvo, Inc. (NASDAQ:QRVO) posted an 18% gain.
Among chipmakers, Broadcom Inc. (NASDAQ:AVGO), Universal Display Corporation (NYSE:OLED) and Qorvo, Inc. (NASDAQ:QRVO) led gains, with performances of 21%, 19.7% and 18%, respectively.
In the biotech arena, Scilex Holding Company (NASDAQ:SCLX) experienced a 78.8% spike, making it the top industry gainer. Alnylam Pharmaceuticals, Inc. (NASDAQ:ALNY) surged by 63.7%, while Avidity Biosciences, Inc. (NASDAQ:RNA) saw a robust 52% increase.
Top Performing Industry ETFs By Inflows In June
Examining fund flows, the VanEck Semiconductor ETF has emerged as a top choice for investors, attracting over $1 billion according to Tradingview data, and achieving its ninth consecutive month of inflows. Year-to-date the fund has registered $4.60 billion in net inflows.
The iShares Expanded Tech-Software Sector ETF pulled in approximately $480 million in June, breaking a six-month streak of outflows and registering its highest monthly inflows since September 2022. Yet, its year-to-date net flows are still negative, down by $1.15 billion.
The iShares Biotechnology ETF (NYSE:IBB) collected $148 million in inflows last month, reflecting strong investor interest. Another industry witnessing robust inflows was represented by the Global X Copper Miners ETF (NYSE:COPX), which attracted about $130 million.
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