In the first half of 2024, the Nasdaq, S&P 500, and Dow Jones Industrial Average have all reached unprecedented highs due to investors' bullish sentiment on AI and expectations of a Federal Reserve interest rate cut. The performance of ETFs reflects the scorching market sentiment, with tech stock-related ETFs almost taking over the top spots.
In the race for the highest gains, two ETFs have left the rest in the dust with more-than-doubling returns, both homing in on the semiconductor sector. $Proshares Trust Pshs Ult Semicdt (USD.US)$ has skyrocketed by an incredible 202.44%, following the Dow Jones U.S. Semiconductor Index. Meanwhile, $Direxion Daily Semiconductor Bull 3x Shares ETF (SOXL.US)$, which hones in on the PHLX Semiconductor Sector Index, has also seen a significant surge of 107.94%.
Amid the tech boom, ETFs targeting FANG+ and FANG stocks have soared, with $MicroSectors FANG+ Index 3X Leveraged ETN (FNGU.US)$ leaping 94.04%, $DIREXION DAILY SELECT LARGE CAPS & FANGS BULL 2X SHARES (FNGG.US)$ up 60.55%, $Bank Of Montreal Microsectors Fang Index 2X Leveraged Etn (FNGO.US)$ rising 60.24%, and $MICROSECTORS FANG & INNOVATION 3X LEVERAGED ETN (BULZ.US)$ gaining 54.18%.
In addition to stock index ETFs, Bitcoin-related ETFs have also shone brightly, benefiting from the listing of spot Bitcoin ETFs, the halving of Bitcoin supply, expectations of Federal Reserve rate cuts, and the impact of currency over-issuance. As of June 18, the total net asset value of bitcoin spot ETFs reached approximately $56.06 billion. $2x Bitcoin Strategy ETF (BITX.US)$ and $Grayscale Bitcoin Trust (GBTC.US)$ have seen substantial jumps of 71.38% and 65.16%, respectively.
The S&P 500's 15% jump this year has spotlighted index funds, with $Vanguard S&P 500 ETF (VOO.US)$ attracting $45.18 billion, $iShares Core S&P 500 ETF (IVV.US)$ $20.6 billion, $SPDR Portfolio S&P 500 ETF (SPLG.US)$ $8.89 billion, and inflows into $Invesco QQQ Trust (QQQ.US)$, $Vanguard Total Stock Market ETF (VTI.US)$, and $Blackrock Etf Trust Us Equity Factor Rotation Etf (DYNF.US)$ reaching $16.59 billion, $15.14 billion, and $8.65 billion, respectively.
Among bitcoin spot ETFs, $iShares Bitcoin Trust (IBIT.US)$ and $Fidelity Wise Origin Bitcoin Fund (FBTC.US)$ have experienced the most significant growth, with their assets swelling by 17.64 billion and 9.33 billion, respectively.
Amid expectations of a Federal Reserve rate cut, the bond market is expected to perform well. $iShares Core US Aggregate Bond ETF (AGG.US)$ attracted $9.97 billion in the first half of the year.