1. U.S. ETFs attracted $121 billion in July, signaling growing market confidence. 2. S&P 500 gained 7.8% this year, lagging international stocks' 15.5% rise. 3. U.S. small-cap stocks face record outflows, indicating risk aversion. 4. Investors show strong interest in international assets amid tariff concerns. 5. Fed's cautious stance on rate cuts may influence future economic performance.
While ETF inflows indicate investor confidence, ongoing tariff concerns may suppress growth. Historical data shows S&P performance can be affected by tariff announcements and economic indicators, leading to uncertainty.
The article discusses macroeconomic conditions that can impact the S&P 500, including equity flows and tariffs. The significant ETF inflows indicate potential investor confidence, but bearish signals from small-caps and tariffs balance this optimism.
The uncertainty surrounding tariffs and job data could lead to immediate volatility in the S&P 500. Historical trends show that economic data can rapidly shift investor sentiment.