IWDA and VWCE Hit Record Inflows in July: What’s Fueling the European ETF Boom?

A resurgent technology sector powered the **S&P 500** to a fresh record on Thursday, with investors shrugging off mixed economic data and focusing on robust earnings from industry leaders. Wall Street’s risk appetite returned as heavyweight tech stocks surged, overshadowing a dip in Treasury yields and a muted session for commodities. ## Markets Surge on Tech Momentum The **S&P 500** closed at a record **6,035.28**, advancing **1.2%** on the day. The **Nasdaq Composite** soared **1.6%** to finish at **20,185.43**, fueled by outsized gains in mega-cap tech names. Meanwhile, the **Dow Jones Industrial Average** edged up just **0.4%** to **41,872.65**, lagging as defensive sectors underperformed. In the bond market, the yield on the **10-year U.S. Treasury** slipped to **3.81%**, down from 3.85% at Wednesday’s close. Investors rotated back into fixed income after jobless claims came in slightly above expectations, signaling a cooling labor market and tempering concerns of further rate hikes by the Federal Reserve. Commodities had a subdued session. **WTI crude oil** settled at **$81.72 per barrel**, virtually unchanged, as traders weighed Middle East supply risks against softening demand signals from recent economic releases. **Gold** held steady at **$2,385 an ounce**, with safe-haven demand little changed amid the risk-on mood in equities. The **U.S. Dollar Index (DXY)** hovered near **104.30**, showing little movement. The **EUR/USD** pair traded at **1.0925**, maintaining a tight range as investors awaited upcoming eurozone inflation data. ## Tech Titans Lead Standout Gains Big tech was the day’s clear winner. Shares of **Nvidia (NVDA)** jumped **4.3%** after the company unveiled new AI chip partnerships, reinforcing its dominant position in data center hardware. **Apple (AAPL)** added **2.7%**, buoyed by reports of stronger-than-expected pre-orders for its latest iPhone lineup. Cloud and software stocks also participated in the rally. **Microsoft (MSFT)** and **Alphabet (GOOGL)** advanced **2.1%** and **2.5%**, respectively, after both firms reported accelerating growth in their cloud businesses. The positive sentiment spilled over into the broader tech sector, with the **Philadelphia Semiconductor Index** climbing **3.1%**. On the downside, energy shares lagged as oil prices remained flat. The **S&P 500 Energy sector** slipped **0.5%**, with **Exxon Mobil (XOM)** and **Chevron (CVX)** both ending in the red. Investors rotated out of defensive sectors such as utilities and consumer staples, which underperformed the broader market. For European investors seeking diversified exposure to global equities, today’s rally in U.S. tech highlights the ongoing debate between index products. For a breakdown of how different ETFs stack up, see our recent analysis: IWDA vs. VWCE for European Investors: Key Differences Explained (2026 Edition). ## What to Watch Attention now turns to Friday’s release of the U.S. Purchasing Managers' Index (PMI) data, which will offer fresh insight into the health of the manufacturing and services sectors. Investors are also bracing for a wave of earnings reports from major financials and consumer companies next week, as well as speeches from several Fed officials that could clarify the central bank’s policy outlook. With tech stocks setting the pace and economic signals remaining mixed, market participants will be watching closely for confirmation that growth can continue without reigniting inflation concerns. Stay tuned as Wall Street digests the latest data and corporate results heading into the heart of earnings season.