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Top-Performing ETFs of Last Week

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Wall Street put up a mixed performance last week, with a slump around the middle but a strong finish. The slump was driven by fears of an AI bubble and doubts over the substitutability of AI investments, while gains on Friday came on the heels of Federal Reserve Chair Jerome Powell’s hint at a September rate cut possibility.

In fact, Wall Street rallied sharply on Aug. 22, 2025, as Jerome Powell suggested that interest rates could be lowered as soon as September in his Jackson Hole address.  In his remarks, Powell agreed that the economic outlook has shifted in ways that may warrant a change in monetary policy.

However, he cautioned that inflation pressures remain a concern. He pointed to tariff-related costs, noting that such pressures are starting to show an impact on the economy and continue to pose an upside risk to inflation. However, rate cut hopes gave a boost to the market. Note that President Trump has continued to push the central bank toward lowering interest rates.

Traders who had been turning skeptical about a September rate cut quickly raised their expectations, with probability rising to 91.5% by Friday afternoon compared with 70% earlier in the day and 85% a week ago. In response, treasury yields fell and stocks jumped.

The Dow Jones Industrial Average jumped 1.9% on Aug. 22, 2025, to close at a fresh record high, while the S&P 500 rose 1.5% and the Nasdaq Composite gained 1.9%. Overall, the S&P 500 gained 0.3% last week, the Dow Jones added over 1.5% and the Nasdaq lost 0.6%.

ETF Winners

Against this backdrop, below we highlight a few winning exchange-traded fund (ETF) winners of last week.

KraneShares SSE Star Market 50 Index ETF (KSTR - Free Report) – Up 12.8% Last Week

The underlying SSE Science and Technology Innovation Board 50 Index comprises the 50 largest companies listed on the SSE Science and Technology Innovation Board as determined by market capitalization and liquidity. The fund charges 89 bps in fees.

AdvisorShares Pure Cannabis ETF (YOLO - Free Report) – Up 12.5%

The AdvisorShares Pure Cannabis ETF seeks long-term capital appreciation by investing in both domestic and foreign cannabis equity securities. Cannabis stocks have been in a sweet spot after President Donald Trump recently said he might reclassify marijuana as having a lower danger level. The expense ratio of the ETF is 1.12%.

ARK 21Shares Active Ethereum Futures Strategy ETF (ARKZ - Free Report) – Up 11.3%

While Bitcoin rallied, Ethereum (ETH) led the digital asset gains. Most Ethereum-based exchange-traded funds (ETFs) surged more than 14% each on Aug. 22, 2025. Many Ethereum ETFs have been hovering around a 52-week high.

Global X MSCI China Consumer Discretionary ETF (CHIQ - Free Report) – Up 6.4%

The fund gained last week as it houses many Chinese e-commerce stocks. Chinese tech stocks have been steady lately. CHIQ offers exposure to other consumer segments. Auto stocks like NIO (NIO - Free Report) , which surged 29% last week, were also among the gainers.

Note that although the latest retail sales data has come in weaker than expected, demand remained steady for essential goods, with supermarket categories such as grain, oil and food rising by 8.6%, alongside daily necessities (+8.2%). Premium segments, including sports and leisure goods and jewelry, grew by 13.7% and 8.2%, respectively.

VanEck ChiNext ETF (CNXT - Free Report) – Up 5.1%

Chinese stocks have been catching the attention of many investors due to a sustained recovery and long-term capital inflows that are fueling markets. Chinese chip stocks gained on “Made-in-China” hopes.


 

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