The ETF market is mostly off to a stellar start to the week. The S&P 500 (NYSE: SPY) rocketed higher Tuesday on tax reform hopes. The 1.01% gain on the day set new record highs for the ETF, which is now higher on the year by an impressive 17%.
The Nasdaq 100 (NASDAQ: QQQ) has also moved up this week, hitting record highs in the process. Though the ETF has been slightly weaker than the rest, it still has an impressive rally intact, and is completely controlled by the bulls.
Retail (NYSE: XRT) continues its multi-week push off lows with an impressive rally Tuesday, where it broke out of a technical resistance area, adding 3.05% in the process. For now the bulls seem to have forgiven the sector's underperformance and are attracted to the discounted valuations. For the year the XRT is still lower by around 3%, but if this continues it won't be long before we see green.
Financials (NYSE: XLF) were the talk of the street Tuesday as the recently quiet sector blasted off 2.60%, nearly hitting new highs for the first time in a month. Tax reform sent the bulls rushing in to the space again, which eases fears that the financials were not supporting this market rally. For the year the XLF is boasting a gain of 15%.
Homebuilders (NYSE: XHB) also popped to new highs as consumer sentiment has hit another peak. Boosted by sentiment and hurricane rebuilding opportunities, the home-building sector is higher by 2% already this week and over 12% since September.
With consumer sentiment rising, the consumer discretionary space (NYSE: XLY) hit another high this week. On Tuesday alone, the ETF moved 1.11%; in just the last 19 days, the ETF has added 5% to its strong rally this year overall.