ETF Trends
ETF Trends

Exchange traded funds tracking risk assets rallied and the euro jumped versus the dollar Thursday on headlines European Union officials have reached a deal on a second financial bailout for Greece.

SPDR S&P 500 ETF (NYSEArca: SPY) climbed more than 1% along with U.S. Oil Fund (NYSEArca: USO) as crude futures briefly traded above $100 a barrel.

CurrencyShares Euro Trust (NYSEArca: FXE) also gained over 1% after Reuters reported EU leaders were set to a promise a “Marshall Plan” of public investment to help Greece get back on its feet. [Euro ETFs in Focus Before EU Meeting]

The greenback lost ground against most rivals – PowerShares DB US Dollar Bullish (NYSEArca: UUP) fell nearly 1%. Gold ETFs were flat in recent trading.

The CBOE Volatility Index, Wall Street’s fear gauge, declined as markets embraced a “risk on” posture. [Risk On, Risk Off — Sector ETF Correlations Spike]

The iPath S&P 500 VIX Short-Term Futures ETN (NYSEArca: VXX) was down over 4%.

In U.S. stocks, banks led the way after Morgan Stanley’s (NYSE: MS) earnings beat. Morgan Stanley shares soared 8% while Financial Select Sector SPDR Fund (NYSEArca: XLF) added 1.8%.

U.S. Oil Fund

CurrencyShares Euro Trust

The opinions and forecasts expressed herein are solely those of John Spence, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.