Best-Performing Sector ETFs of the Second Quarter
The second quarter of 2025 saw sharp volatility in the U.S. stock market, driven by Trump's aggressive tariff policies and escalating geopolitical tensions. The S&P 500 is now less than 1% away from an all-time high, a stunning turnaround considering the index was teetering on the edge of a bear market just two months ago.With just a few days left to end the second quarter, the Nasdaq Composite Index outperformed, jumping 15.4%, while the S&P 500 and the Dow Jones Index gained 8.5% and 2.3%, respectively. We have highlighted five top-performing ETFs from different industries that were the leaders in the second quarter. These are Global X Uranium ETF URA, First Trust SkyBridge Crypto Industry & Digital Economy ETF CRPT, ARK Next Generation Internet ETF ARKW, Global X Video Games & Esports ETF HERO and Global X Gold Explorers ETF GOEX.
After nearly entering a bear market in April and erasing $9.8 trillion in market value, the S&P 500 rebounded sharply in May and June, fueled by a strong comeback in tech stocks and trade negotiation optimism. The S&P 500 jumped 6.15% in May, its best monthly gain since November 2023 and its strongest May since 1990. It has added another 3% so far in June, regaining trillions in market value.
Renewed enthusiasm for U.S. tech and AI stocks, especially NVIDIA NVDA and Microsoft MSFT, bolstered investors' sentiment during the quarter. The Nasdaq 100 hit a fresh record high on Tuesday, its first since February. With rates still high and volatility lingering, the mega-cap tech names are proving to be the market's new safe haven (read: 5 Stocks Driving Nasdaq 100 ETF Higher in 2025).
Trump has softened his stance on tariffs and taken a measured approach to trade negotiations. While only a trade deal with the UK and a tentative truce with China have been announced, many investors believe the worst of the tariff fallout may be behind them.The average tariff rates are now at their highest in 90 years. Such elevated levels could suppress growth, reignite inflation, and keep interest rates elevated, thereby creating headwinds for stocks in the short term.Hopes of de-escalation in the Israel-Iran conflict boosted market sentiment this week, easing risk-off pressures. Let's dig into the details of the abovementioned ETFs:Global X Uranium ETF (URA) – Up 55.5%Global X Uranium ETF provides investors access to a broad range of companies involved in uranium mining and the production of nuclear components, including those in extraction, refining, exploration, or manufacturing of equipment for the uranium and nuclear industries. It tracks the Solactive Global Uranium & Nuclear Components Total Return Index and holds 48 stocks in its basket. Canadian firms make up the largest allocation in the basket at 38.2% while the United States accounts for a 20.8% share. Global X Uranium ETF has amassed $3.7 billion in its asset base and charges 69 bps in annual fees. It trades in an average daily volume of 5 million shares (read: Data Centers to Power Nuclear Energy and Uranium ETFs).First Trust SkyBridge Crypto Industry & Digital Economy ETF (CRPT) – Up 52.1%First Trust SkyBridge Crypto Industry and Digital Economy ETF is designed to provide exposure to companies that SkyBridge believes are driving cryptocurrency, crypto assets and digital economy-related innovation. SkyBridge identifies securities primarily via 'bottom-up' research focused on finding companies leading in the crypto industry ecosystem. First Trust SkyBridge Crypto Industry & Digital Economy ETF holds 24 stocks in its basket and charges 85 bps in fees per year from investors. It has amassed $127.8 million in its asset base and trades in an average daily volume of 63,000 shares.ARK Next Generation Internet ETF (ARKW) – Up 38.5%ARK Next Generation Internet ETF is an actively managed fund focusing on companies expected to benefit from the shift in technology infrastructure to the cloud, enabling mobile, new and local services. The fund holds 42 stocks in its basket. ARK Next Generation Internet ETF has amassed $2 billion in its asset base and charges 82 bps in annual fees. It trades in an average daily volume of 346,000 shares. Global X Video Games & Esports ETF (HERO) – Up 22.9%Global X Video Games & Esports ETF offers exposure to companies developing or publishing video games, facilitating streaming and distribution of video gaming or esports content, owning and operating within competitive esports leagues or producing hardware used in video games and esports, including augmented and virtual reality. This can be easily done by the Solactive Video Games & Esports Index. Holding 45 securities in its basket, Global X Video Games & Esports ETF has an AUM of $159 million and charges 50 bps as annual fees. HERO trades in an average daily volume of 48,000 shares. Global X Gold Explorers ETF (GOEX) – Up 22%Global X Gold Explorers ETF provides exposure to companies involved in the exploration of gold deposits and tracks the Solactive Global Gold Explorers & Developers Total Return Index. It is home to 51 stocks. Canadian firms dominate the fund's return at 54.1%, followed by Australia (27.6%) and the United States (8.8%). Global X Gold Explorers ETF is unpopular and illiquid, with an AUM of $64.1 million and an average daily volume of 18,000 shares. The expense ratio comes in at 0.65% (read: Gold ETFs Shine in 1H: Will the Bloom Continue in 2H?).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Microsoft Corporation (MSFT) : Free Stock Analysis Report
NVIDIA Corporation (NVDA) : Free Stock Analysis Report
Global X Video Games & Esports ETF (HERO): ETF Research Reports
ARK Next Generation Internet ETF (ARKW): ETF Research Reports
Global X Gold Explorers ETF (GOEX): ETF Research Reports
First Trust SkyBridge Crypto Industry and Digital Economy ETF (CRPT): ETF Research Reports
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Digital Trends
39 minutes ago
- Digital Trends
NASA just test fired its next-gen SLS lunar rocket booster
NASA has completed the first full-scale static test fire of the Booster Obsolescence and Life Extension (BOLE) solid rocket motor, the next-generation solid rocket booster for the space agency's SLS (Space Launch System) lunar vehicle. The 140-second test took place at Northrop Grumman's Promontory production and test site in Utah on Thursday and was livestreamed on YouTube. You can watch the rocket blasting at full power via the video player embedded at the top of this page. Using hundreds of sensors to monitor its operation, the test demonstrated the ballistics performance of the BOLE motor design, as well as its nozzle, insulation, and electronic thrust vector control (eTVC) vectoring performance, NASA said. The firing also aimed to validate the use of new domestic materials and manufacturing processes that are geared toward reducing costs by about 25% over previous designs. The BOLE motor burned more than 1.4 million pounds of propellant during the procedure, and generated more than 3.9 million pounds of thrust. As a comparison, SpaceX's workhorse Falcon 9 rocket generates around 1.7 million pounds of thrust at launch, while SpaceX's mighty Starship vehicle — the most powerful rocket ever built — generates a colossal 16.7 million pounds of thrust as it leaves the launchpad. Thursday's test fire began normally, but about 100 seconds in there appeared to be some kind of explosive event in the plume, possibly involving the exhaust nozzle. However, the booster continued to fire for another 40 seconds without any noticeable difficulty. Northrop Grumman has yet to comment on the cause or implications of the apparent anomaly. Speaking just minutes after the end of the test, Dave Reynolds, NASA SLS booster program manager, said: 'It's a brand new booster from tip to tail, there are so many things that are different about this booster — it actually has very little relationship to the current boosters that are flying on the Artemis II mission that's coming up. 'We were expecting to learn a lot of things, and I guarantee that we're going to spend the next six months digging through all of that data and finding out what we need to do.' The booster is scheduled to fly for the first time — as part of NASA's SLS rocket — in the ninth Artemis mission, which is currently scheduled for 2034 and will involve a crewed landing on the moon. However, the Trump administration wants to cut the Artemis budget, instead prioritizing commercial launch partnerships while redirecting focus to the first crewed Mars mission, at the expense of lunar missions. In other words, there's a chance that this booster will never fly.
Yahoo
39 minutes ago
- Yahoo
Markets eye records, Fed Chair, rate cut odds: Market Takeaways
Yahoo Finance Senior Reporter Allie Canal joins Asking for a Trend with Josh Lipton to go over her main takeaways of the trading day: markets continuing to hover near record highs, investor focus on who the next Federal Reserve chair might be, and shifting conviction in the possibility of a Fed rate cut in July. To watch more expert insights and analysis on the latest market action, check out more Asking for a Trend here. US stocks climbing with the S&P 500 and Nasdaq closing just points away from those record highs and Yahoo finances Alec now joins us now with the trading day takeaways Ali. Josh, we were so close you cheering in the newsroom, we said it's going to happen and we just missed those records there. So all eyes were on the records. We got some, we didn't get others, the biggies we didn't get, like you were just saying just points for the S&P 500 three points, the number that we were watching was 6144, 6141. Same with the Nasdaq composite, we were not too far off of those record highs either and then we did see the Dow Jones Industrial Average close in the green there up about nine tenths of a percent. So we could take some solace in the fact that there's green across the screen. Now if we look at the Nasdaq 100, another record there. We saw a record on Tuesday, so that just continues to build on to those gains, even the equal weight Nasdaq 100 continues to trend upward. And looking under the hood of the Nasdaq, you did have some positive momentum for certain stocks like Nvidia. We saw that record yesterday, have another record today and if you take a look from the April 8th bottom there, you can just see this move upwards to the top nearly 50% and across tech, if we look from that April 8th bottom, you'll really see that there's a lot of momentum for many of these names here. Broadcom, even Tesla, Amazon, the only big one in my view that's in the red here is Apple, struggling a little bit and that has a lot to do with some more uncertainties on the tariff front along with some disappointments around its AI launch. But the fact that we're continuing to see this momentum chasing is an encouraging sign to the Wall Street Bulls. Even from a sector perspective, since those April bottoms you see tech again leading, but also communication services, industrials, consumer discretionary, financials, this really seems to be a broad based rally here. Yeah, I was talking to Schaefer in the newsroom talking about there's that momentum trade. You know, how much are a theme in a trend that's big and just investors are saying, listen, they're going to buy their winners because they just anticipate them to stay winners, you know. And you mentioned, you know, we talk Nvidia today, that AI boom. I mean, there was a question about that whether they would continue Ali, but then we heard from those big tech names they were going to keep spending, spending, spending, the sovereigns are spending and that's worked as well. Yeah, and I've been speaking to strategist all week about the tech boom and whether it continues to have legs and they tell me that it does. That there's a lot of cash on the sidelines. And really these companies with their big balance sheets, they allow investors to be insulated from a lot of these risks. And that really seems to be key here. Investors are just looking past some of these noisier headlines. And then another big headline we got today was who will be the next Fed chair. Now this is based on reporting for both Yahoo Finance and the Wall Street Journal. This is your list here on who Trump is considering. He wants to name someone as early as September. So Fed chair Jerome Powell will continue to be in that position at this time. So perhaps a shadow Fed situation. Scott Bess and Treasury Secretary is reportedly in the running, Kevin Hassett, Chris Waller, that's who the journal reported, but our Jennifer Schonberger said that Trump is no longer considering him since he voted in the last Fed meeting to keep rates on hold and we know that the President wants a very dovish Fed chairman at this point. He wants those rate cuts. We've seen him go against Powell. Whether or not he'll get that this summer, that's the big TBD. Yeah, I mean we know Trump wants them cutting. He wants them cutting right now. He's a real estate developer, Ali. Of course he wants them cutting. It is about Waller because you know, Waller Bowman, we just heard from, they were kind of suggesting, hey, a cut could come next month. And you wonder if they were maybe jockeying for that position, but there's still a lot of unknowns at this point. And when we talk about, you know, a rate cut potentially in July here, markets are certainly still pricing in a September rate cut. You see those odds at 70%. However, when you look at July, it's doubled compared to a week ago. So there might be a bit more conviction that maybe we could see something this summer. We do have PCE inflation data out on Friday. If that continues to trend downward and if perhaps next week for that jobs report, we see, you know, the unemployment rate escalate, we see other labor market cracks, maybe that convinces the Fed to cut. I just think it's a little too early at this point. And Jerome Powell has been very good at telegraphing what he thinks will come next. There's not always a ton of surprises, not to say that we couldn't see a surprise. I just would be a little wary to put money on a July cut at this point. All right, we shall see. Thank you, Ali. Yep.
Time Business News
40 minutes ago
- Time Business News
Key Traits of Reliable Dynamics 365 Partners
Deploying Microsoft Dynamics 365 is a major step for businesses looking to integrate CRM and ERP systems, streamline operations, and enhance customer engagement. However, the true success of this deployment depends heavily on choosing the right partner. With numerous vendors claiming to offer expertise, it becomes essential to distinguish the truly reliable dynamics 365 implementation partners from the rest. A reliable partner is not just a technical service provider—they are a strategic ally who helps businesses optimize workflows, improve user adoption, and drive measurable results. So, what sets dependable partners apart? Here are the key traits to look for when selecting the right implementation team for your Dynamics 365 project. Reliable dynamics 365 implementation partners possess deep knowledge of the entire Microsoft ecosystem, not just Dynamics 365. This includes Power Platform, Azure, Microsoft 365, and other integrations that are often crucial to enterprise solutions. Certified technical teams are well-versed in customizing modules like Sales, Customer Service, Finance, Supply Chain, and Project Operations. A strong grasp of data modeling, workflow automation, security configurations, and API integrations enables these partners to build robust, scalable solutions tailored to your unique business requirements. One of the strongest indicators of a partner's capability is their experience within your industry. A reliable partner understands the specific challenges, compliance requirements, and workflows relevant to your sector, whether it's manufacturing, retail, healthcare, logistics, or finance. Partners with vertical specialization often provide pre-configured templates, accelerators, and best practices that reduce implementation time and increase project success rates. They don't just install software—they implement business solutions designed for your market. A well-defined implementation methodology is a hallmark of dependable dynamics 365 implementation partners. These methodologies include clear phases such as discovery, planning, design, development, testing, deployment, and post-launch support. Reliable partners apply agile or hybrid methodologies that involve continuous stakeholder engagement, iterative testing, and regular checkpoints. This structured approach helps manage scope, timelines, and budgets effectively, while also keeping the client involved and informed at every stage. Beyond technical implementation, successful deployment relies heavily on effective project management. Reliable partners assign experienced project managers who coordinate tasks, mitigate risks, and maintain communication between teams. They ensure projects stay on schedule and within budget while quickly resolving any roadblocks. Regular progress reports, milestone tracking, and clear documentation are signs of a partner that values transparency and accountability. A trustworthy partner doesn't disappear after go-live. Post-deployment support is a key component of long-term success. This includes troubleshooting, user training, performance monitoring, system updates, and feature enhancements. The best dynamics 365 implementation partners offer managed services, helpdesk support, and optimization audits to ensure the system continues evolving as business needs change. Long-term collaboration often results in better ROI and increased user satisfaction. No matter how advanced the software, it will fail without proper user adoption. Reliable partners place strong emphasis on training and change management. They deliver personalized training programs, create documentation, and offer hands-on workshops to help employees become comfortable and confident using the system. They also recognize that change is more than technical—it's cultural. Effective change management strategies help overcome resistance, increase engagement, and drive productivity across the organization. A proven track record is one of the clearest indicators of reliability. Reputable partners are happy to share case studies, testimonials, and client references that demonstrate their success. These real-world examples offer insight into the partner's strengths, approach, and ability to deliver value. If a partner has successfully completed multiple projects in your industry or business size, it's a strong signal that they can handle your requirements too. The best dynamics 365 implementation partners are not just implementers—they're innovators. They stay updated with Microsoft's evolving features, participate in industry events, and continually invest in their own capabilities. This commitment ensures your organization benefits from the latest tools, integrations, and strategies. A reliable partner brings fresh ideas to the table and helps future-proof your investment in Dynamics 365. Choosing the right implementation partner is one of the most critical decisions in your Dynamics 365 journey. The platform itself is powerful, but without the right guidance, its capabilities can remain underutilized. Reliable dynamics 365 implementation partners offer the technical skills, industry experience, and collaborative mindset needed to turn a software deployment into a business transformation. By focusing on the traits above, organizations can identify partners who not only meet their needs today but also support their growth and success well into the future. TIME BUSINESS NEWS
