Performance was largely negative for the 106 indexes tracked in April, with 97 indexes retreating and nine indexes advancing. The average index return was -3.8%, a significant decline compared to the previous month. The Nasdaq-100 Index® (NDX®) fell 4.5%, marking the index's first decline after five consecutive months of gains. The best-performing index was the Nasdaq Sprott Nickel Miners™ (NSNIKL™), which surged by 9.9%. On the other hand, the worst-performing index was the Nasdaq Ethereum™ (NQETHS™), which declined by 15.1%.
Some of the most significant losses occurred within the Nasdaq Thematic Tech Indexes, Nasdaq Dorsey Wright Indexes, Nasdaq Crypto Indexes, and Nasdaq Dividend and Income Indexes.
Within the Nasdaq Featured Indexes, the PHLX Gold/Silver Sector™ Index (XAU™) stood out as the top performer, up 5.1%, and was the only index in the group to finish in positive territory. The Nasdaq Innovators Completion Cap™ Index (NCX™) was the worst performer down 9.9%.
The Nasdaq Emerging Markets™ (NQEM™) was the best performer among the Nasdaq Global Indexes, climbing 1.1%. The Nasdaq ASPA Ex Japan™ (NQASPAXJP™) [AB1] [SM2] gained 0.2% and was the only other index besides NQEM™ to post a gain in April. The Nasdaq US Small Cap™ (NQUSS™) was the relative underperformer, down by 7%. Overall, emerging markets showed more resilience than their developed market counterparts.
The Nasdaq OMX Nordic Indexes registered mostly positive returns, with the OMX Stockholm 30® (OMXS30®) and the OMX Helsinki 25® (OMXH25™) leading the posting gains of 1.5%. The OMX Copenhagen 25™ (OMXC25™) fell 2%, marking the worst return of the group for April.
All the Nasdaq Thematic Tech indexes fell in April. The Nasdaq Global Disruptive Tech (NYDTB™) [AB3] [SM4] and Nasdaq CTA Global Video Games & ESports™ (PLAYER™) were the group's most resilient indexes despite falling 3.1%. On the other hand, the BVP Nasdaq Emerging Cloud™ (EMCLOUD™) and the Nasdaq CTA Global Digital Payments™ (WALLET™) were the weakest of the group.
All but two indexes in the relative-strength driven Nasdaq Dorsey Wright suite fell in April. The Dorsey Wright Emerging Markets Tech Leaders™ (DWAEM™) and the Dorsey Wright Utilities Tech Leaders™ (DWUT™) took the lead as the top performers with respective gains of 1.7% and 0.6%. Conversely, the Dorsey Wright Healthcare Tech Leaders™ (DWHC™) was the weakest performer of the group for the second consecutive month, falling 8% in April.
All 12 indexes in the Nasdaq Dividend and Income group fell in April. The Nasdaq International BuyBack Achievers™ (DRBXUS™) was the relative outperformer of the group with a loss of 1.4%. The Nasdaq US SMID Cap Rising Dividend Achievers™ (NQDVSMR™) fell 6%, making it the worst-performing index within the group.
All indexes in the Nasdaq Options suite fell in April, except for the Credit Suisse Nasdaq Silver FLOWS106 TR™ (QSLVOTR™), which gained 1.2%. For the second consecutive month, the relative underperformer of the group was the Nasdaq-100 Quarterly Protective Put 90™ (NQTRI™), which registered a loss of 4.3%.
The relative outperformer in the Nasdaq Green Economy suite was the Nasdaq OMX Wind™ (GRNWIND™), which finished flat for the month of April. On the other hand, the relative underperformer was the Nasdaq OMX Global Water™ (GRNWATERL™), falling 6.2%.
All four Nasdaq Crypto Indexes posted double-digit losses in April. The relative outperformer was the Nasdaq Bitcoin (NQBTS™), which fell 13.5%, while the Nasdaq Ethereum™ (NQETHS™) lagged the group with a loss of 15.1%.
April highlighted that persistent inflation continues to be a key risk and can potentially disrupt the ongoing rally in risk assets. The Nasdaq-100 recorded a decline of 4.5% this month, breaking its recent string of positive returns. Despite this downturn, the Nasdaq-100 is up 32.8% over the last year and remains up 3.9% on a year-to-date basis. Market dynamics are heavily influenced by key economic factors, with Federal Reserve policies playing a pivotal role. The Federal Reserve chair, Jay Powell, has signaled interest rates are likely to remain higher for longer, as there has been “a lack of further progress” towards the 2% inflation target in recent months. A resilient economic landscape and the danger of escalating tensions in the Middle East boosted commodity prices. While the performance of the Nasdaq indexes was less than stellar this month, the underlying economic indicators remain crucial for investors to monitor. These factors include inflation rates, employment figures, and global economic conditions, all of which can significantly impact market sentiment and future index performance.
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