NEW YORK (
) -- Welcome to Don Dion's Daily ETF Winners and Losers. Be sure to stop by each day to get a feel of who's winning and who's losing when it comes to ETFs.
At week's start, the market continues to face headwinds as Europe battles debt and China looks to reign in its overheating housing market. The dangerously volatile VXX is scoring gains as investors shy away from the market and seek out more defensive plays.
Global economic uncertainty continues to weigh on base metals,
driving PowerShares DB Base Metals ETF
lower. Leading these materials lower is copper. JJC has fallen below its 200-day moving average for the second time in May.
Investors should hold off on base metals for the time being. Given the economic headwinds facing the East and West, copper, aluminum and other industry-linked metals may have further to fall.
Claymore/MAC Global Solar Energy Index ETF (TAN) - Get Report -4.9%
The solar energy industry continues to get battered as nations around the world focus their attention on the sovereign debt over alternative energy subsidies. TAN's tumble has brought it back to levels last seen in the opening months of 2009. Investors should continue to avoid this fund until some sort of support is found.
ETFS Physical Palladium Shares (PALL) - Get Report -4.6%
It had a strong run earlier in the year when the market was steadily moving higher. However, in times of market concerns like today, palladium tumbles quickly. ETF investors who are bullish, but concerned about the volatility that comes with holding PALL, should stick to the
ETFS Physical Platinum Shares
. Platinum is more plentiful than palladium and therefore goes through less dramatic market swings. Today, PPLT is down only 3.1%.
Market Vectors Junior Gold Miners ETF (GDXJ) - Get Report -3.3%
Gold prices are not immune to today's market dip with the
iShares COMEX Gold Trust
taking a small hit. Following the yellow metal, gold miners are heading lower as well, with juniors and GDXJ leading the way.
GDXJ is particularly more volatile than its large-cap focused cousin,
Market Vectors Gold Miners ETF
During Monday's trading, GDX was down only 2.5%.
United States Oil Fund (USO) - Get Report -2.6%
Oil prices continued to get pounded on Monday as economic struggles weigh on forecast energy demand. Monday's dip sent crude prices below $70, its lowest point since the close of 2009.
USO's dip has been dramatic and I would advise investors to steer clear. Instead, those looking for a taste of the oil industry would be better off tracking producers using the
iShares Dow Jones U.S. Oil Equipment & Services Index Fund
All prices as of 2:16 PM EST
At the time of publication, Dion Money Management owned TUR, GDX and IAU.
Don Dion is president and founder of
, a fee-based investment advisory firm to affluent individuals, families and nonprofit organizations, where he is responsible for setting investment policy, creating custom portfolios and overseeing the performance of client accounts. Founded in 1996 and based in Williamstown, Mass., Dion Money Management manages assets for clients in 49 states and 11 countries. Dion is a licensed attorney in Massachusetts and Maine and has more than 25 years' experience working in the financial markets, having founded and run two publicly traded companies before establishing Dion Money Management.
Dion also is publisher of the Fidelity Independent Adviser family of newsletters, which provides to a broad range of investors his commentary on the financial markets, with a specific emphasis on mutual funds and exchange-traded funds. With more than 100,000 subscribers in the U.S. and 29 other countries, Fidelity Independent Adviser publishes six monthly newsletters and three weekly newsletters. Its flagship publication, Fidelity Independent Adviser, has been published monthly for 11 years and reaches 40,000 subscribers.