XLY is trading nearly 3.0% up today as investors react to signs of progress in U.S.-Iran negotiations and reassuring comments from the Federal Reserve regarding energy stability.
- President Trump signaled diplomatic progress in the Middle East, triggering a relief rally after the ETF closed flat at $105.66 in the previous session.
- Fed Chair Jerome Powell downplayed the threat of short-term oil shocks from the Strait of Hormuz, easing concerns over the impact of energy prices on consumer discretionary spending.
- The sector is currently outperforming the broader market rally, with the S&P 500 and Nasdaq gaining 2.37% and 3.32%, respectively.