SPY ETF Dips Amid Trade Tensions and Netflix Earnings Miss
The SPDR S&P 500 ETF Trust (SPY) fell 0.52% on Wednesday, dragged down by renewed U.S.-China trade tensions and a steep decline in Netflix shares following disappointing earnings. Industrials, Consumer Discretionary, and Communication Services sectors lagged, while Energy and Consumer Staples eked out gains.
Market sentiment soured after reports of potential U.S. export restrictions on China-facing software companies. Netflix's 10% plunge—stemming from weak quarterly results and a Brazilian tax event—weighed heavily given its 0.91% SPY weighting. The ongoing government shutdown added to the risk-off mood.
Despite the pullback, SPY saw $4 billion in net inflows over five days, suggesting investors remain engaged. All eyes now turn to Friday's inflation data, which could spark fresh volatility.
