In trading Tuesday, the SPDR S&P International Consumer Discretionary Sector ETF (AMEX:IPD) is outperforming other ETFs, trading flat on the day. Components of that ETF showing particular strength include shares of Shaw Comm (TSE:SJR.B.CA), off about 0.3% and shares of Virgin Media (NASDAQ:VMED), off about 0.7% on the day.
Other ETF Winners
iPath S&P 500 VIX Short-Term Futures ETN (NYSE:VXX) Up 9.26%
Thanks to a dismal consumer confidence report and concerns regarding China’s economic growth prospects, fear is in abundance and the VIX is scoring gains. Over the past week and a half, VXX has staged an impressive bounce against its 50-day moving average but remains too dangerous to consider a long-term holding.
CurrencyShares Japanese Yen Trust (NYSE:FXY) Up .95%
Rather than using VIX-based ETFs like VXX to play down days like these, I would advise investors to use funds like FXY, iShares Barclay’s 20+ Year Treasury Bond Fund (NYSE:TLT) and iShares COMEX Gold Shares (NYSE:IAU) as stable defensive plays. Today, all three of these funds have managed to avoid falling into negative territory.
And underperforming other ETFs today is the Wireless HOLDRS ETF (AMEX:WMH), off about 7.39% in Tuesday afternoon trading. Among components of that ETF with the weakest showing on Tuesday were shares of RF Micro Devices (NASDAQ:RFMD), lower by about 5.8%, and shares of Vivo Participacoes (NYSE:VIV), lower by about 5.2% on the day.
Other ETF Losers
Market Vectors Coal ETF (NYSE:KOL) Down 5.83%
Concerns about China’s growth prospects are putting pressure on commodities and materials funds, driving KOL, Market Vectors Steel ETF (NYSE:SLX), SPDR Metals & Mining ETF (NYSE:XME) and iPath Dow Jones-UBS Copper Total Return Subindex ETN (NYSE:JJC) lower. Investors interested in playing materials in the future should continue to keep a close watch on this Asian powerhouse. The nation’s demand for resources is a strong determinant of price direction.
iShares MSCI Italy Index Fund (NYSE:EWI) Down 4.93%
Europe’s debt crisis has managed to steal back some headlines, causing investors to flee the most troubled of the currency bloc’s constituents. EWI and iShares MSCI Spain Index Fund (NYSE:EWP) are funds that represent some of the most at-risk nations in Europe right now and should be avoided entirely.