Best-Performing Leveraged ETFs of Last Week

The S&P 500 just marked its longest winning streak since November 2004, closing higher for multiple sessions. U.S. stocks surged on Friday, marking a significant comeback for major indexes, led by a strong jobs report and a possible breakthrough in U.S.-China trade negotiations.

The S&P 500 jumped nearly 1.5%, surpassing its April 2 closing level—referred to by President Trump as “Liberation Day,” when sweeping tariffs were announced. The Dow Jones Industrial Average gained 1.4%, logging its ninth consecutive winning day. The tech-focused Nasdaq Composite also climbed roughly 1.5%.

Weekly Market Performance: All Major Indexes Climb

Friday’s rally capped off a strong week for U.S. equities. The Dow rose 3%, the S&P 500 added nearly 3%, and the Nasdaq outperformed with a 3.4% gain. Optimism over Big Tech earnings and signs of progress in trade discussions were key drivers of the weekly surge.

Job Market Beats Expectations

Markets were buoyed by a stronger-than-expected U.S. jobs report. Nonfarm payrolls rose by 177,000 in April, exceeding economists’ expectations of 138,000. The unemployment rate remained steady at 4.2%, signaling continued strength in the labor market despite recent volatility tied to tariff fears.

Hopes Rise for U.S.-China Trade Talks

Investor optimism was further fueled by news from Beijing. China’s commerce ministry indicated openness to talks, saying the "door is open" for negotiations if the U.S. agrees to scale back reciprocal tariffs. This development suggested a possible thaw in trade tensions that had rattled markets since April.

Microsoft and Meta Lead the 'Magnificent 7'

Among the tech heavyweights, Microsoft MSFT and Meta META stood out last week. Microsoft soared over 11% last week, marking its best performance since March 2023. Meta also posted its strongest week since February 2024. In contrast, Apple AAPL lagged behind, falling over 2% for the week following its quarterly results.

Apple & Amazon React to Tariff Pressures

Despite strong earnings, some tech giants felt the pressure of trade uncertainty. Apple reported a $900 million tariff headwind this quarter and cut its share buyback program by $10 billion, causing its stock to dip. Amazon AMZN posted solid earnings but offered cautious guidance, citing tariffs and trade policy as key concerns. Its shares ended the day little changed.

Best Leveraged ETFs of Last Week

Against this backdrop, below we highlight the top-performing leveraged exchange-traded fund (ETF) areas of the last week.

Defiance Daily Target 2X Long HIMS ETF HIMZ – Up 74.1% Last Week

Hims & Hers has consistently witnessed strong market acceptance of its range of curated health and wellness products and services over the past few months. Hims & Hers partnered with Novo Nordisk NVO to expand access to its popular obesity care. HIMS stock gained 36.5% last week.

ProShares Ultra Bloomberg Natural Gas BOIL – Up 31.3%

U.S. natural gas prices surged last week, thanks to a drop in output and record LNG exports.  Production has fallen to a two-month low.

Defiance Daily Target 2X Long RGTI ETF RGTX – Up 18.8%

Rigetti Computing Inc(RGTI) stock jumped 12.1% last week. Rigetti has secured a new investment deal with Quanta Computer, which involved a $35 million purchase of Rigetti’s common stock. Most analysts are bullish on the stock.

Defiance Daily Target 2X Long NVO ETF NVOX – Up 22.2%

Novo Nordisk said the Food and Drug Administration accepted its submission of a new drug application for a Wegovy pill to treat obesity amid an intense race to get an oral weight-loss medication on the market. If approved, Wegovy would become the first oral formulation of a GLP-1 drug for chronic weight management. The NVO stock, which surged 11.4% last week, makes up about 12% of the fund OZEM.

GraniteShares 2x Long MSFT Daily ETF MSFL – Up 22.4%

Microsoft soared over 11% last week, marking its best performance since March 2023, driven by strong earnings and continued investment in AI technology.

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This article originally published on Zacks Investment Research (zacks.com).

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