How to Choose the Best Broker for Your ETF Portfolio: DEGIRO vs. Trade Republic vs. Interactive Brokers in 2026

After a resilient start to the second quarter, U.S. equities retreated on Monday as investors digested fresh signals from the Federal Reserve that interest rates may stay elevated longer than previously anticipated. Market participants weighed the implications for growth stocks and rate-sensitive sectors, sending major indexes modestly lower. ## Equities Ease on Fed Tone The **S&P 500** closed lower, snapping a three-day winning streak. The benchmark index slipped **0.4%** to finish at **5,180**, pressured by weakness in technology and consumer discretionary names. The **Nasdaq Composite** underperformed, shedding **0.7%** to **16,320**, as high-valuation shares faced renewed scrutiny. The **Dow Jones Industrial Average** fared better, edging down just **0.2%** to **39,020**, supported by defensive sectors. Fed Chair Jerome Powell reiterated in a morning speech that policymakers remain “data dependent,” but emphasized that recent inflation readings have not provided sufficient confidence to begin cutting rates. This cautious tone weighed on risk appetite, particularly for sectors that had rallied on hopes for imminent policy easing. ## Treasury Yields Climb, Dollar Holds Firm Bond markets responded swiftly to Powell’s remarks. The yield on the **10-year U.S. Treasury** rose **6 basis points** to **4.41%**, its highest level in nearly four weeks. Shorter maturities also moved higher, reflecting diminished expectations for an early pivot by the Fed. In currency markets, the **U.S. Dollar Index (DXY)** held steady near **104.9**, as investors favored the greenback amid rising yields. The **EUR/USD** pair hovered at **1.073**, little changed on the day, with traders awaiting further direction from both central banks later in the week. ## Commodities Mixed: Oil Slips, Gold Steady Commodities saw diverging moves. **WTI crude oil** slipped **0.9%** to settle at **$84.10 per barrel** amid reports of easing supply concerns from OPEC producers. Meanwhile, **gold** held steady at **$2,310 per ounce**, as safe-haven demand offset the pressure from rising yields. The precious metal has traded in a narrow range as investors await clearer signals from central banks. ## Key Movers: Tech Retreats, Financials Show Resilience Technology stocks led declines, with **Nvidia (NVDA)** falling **2.1%** and **Apple (AAPL)** down **1.4%**, as higher yields dented appetite for growth shares. Semiconductor names broadly lagged, reflecting concerns that persistent rate headwinds could weigh on capital spending. Conversely, financials showed relative strength, with **JPMorgan Chase (JPM)** and **Bank of America (BAC)** both closing modestly higher. Higher yields tend to bolster net interest margins for banks, offering a rare bright spot in an otherwise cautious session. ETF flows showed a defensive tilt, with investors favoring broad-market and dividend-focused funds over high-growth exposures. For a closer look at efficient ETF strategies in the current environment, see our guide on the best low-cost brokers in Europe for buy-and-hold ETF investors. ## What to Watch Looking ahead, investors will focus on Wednesday’s release of the U.S. Consumer Price Index, a key gauge of inflation that could inform the Fed’s next steps. Several Fed officials are also scheduled to speak this week, and the minutes from the March FOMC meeting will provide further insight into policymakers’ thinking. On the earnings front, major U.S. banks kick off the first-quarter reporting season later this week, with analysts watching closely for commentary on loan demand and credit quality. Any surprises could set the tone for the next leg of market direction. For those considering ETF allocations ahead of earnings season, our recent comparison of Trade Republic vs. DEGIRO for ETF investing offers practical insights. Markets remain data-driven and sensitive to central bank commentary. With inflation and earnings on deck, volatility may persist as investors seek clarity on the Fed’s policy path.