SPY Loses $1.6B Amid Gains, Signaling Profit-Taking Amid Market Strength

Date: February 3, 2026

Market Overview

Today’s ETF outflows spanned equity, bond, and thematic categories, with no single asset class dominating the trend. The largest outflows occurred in broad U.S. equity (SPY, RSP), technology (XLK), and growth-oriented (IWF) funds, alongside short-term bond (VCSH) and inflation-protected (VTIP) fixed income products. A Bitcoin-linked ETF (IBIT) also featured prominently, reflecting volatile investor positioning in digital assets. While the data does not explicitly link outflows to macroeconomic catalysts, the mix of equity and bond outflows suggests a potential rebalancing across risk profiles.

ETF Highlights

SPDR S&P 500 ETF Trust (SPY) As the largest U.S. equity ETF with $715.38B in assets, SPY recorded the day’s biggest outflow at $1.6B. Its 1.12% price gain and 5.50% YTD performance contrast with the outflow, potentially signaling profit-taking or tactical shifts amid broader market strength..

Vanguard Short-Term Inflation-Protected Securities ETF (VTIP) VTIP, focused on Treasury inflation-protected securities, saw $745M in outflows. Its modest 0.42% daily gain and $16.04B AUM suggest investors may be recalibrating exposure to inflation-linked assets, possibly reflecting shifting expectations for central bank policy or real yield dynamics.

Technology Select Sector SPDR ETF (XLK) XLK, the third-largest outflow recipient at $507M, tracks the tech sector and has declined 1.31% on the day. With a $92.54B AUM and a 5.50% YTD drop, the outflow could indicate caution in a sector that has underperformed broader markets in 2026.

iShares Russell 1000 Growth ETF (IWF) IWF, focused on large-cap growth stocks, lost $469.7M. Its 2.98% daily decline and 5.50% YTD performance may have prompted investors to scale back exposure to growth equities, which have faced pressure relative to value counterparts.

Invesco MSCI USA ETF (PBUS) PBUS, tracking a broad U.S. equity index, saw $465M in outflows despite a 0.96% daily rise. Its $10.34B AUM and mixed performance (no YTD data provided) might reflect tactical shifts in passive equity strategies.

Vanguard Short-Term Corporate Bond ETF (VCSH) VCSH, focused on investment-grade corporate debt, recorded $391.6M in outflows. Its minimal -0.06% daily move and $40.62B AUM suggest investors may be rotating away from short-duration fixed income, possibly in anticipation of yield curve adjustments.

Invesco S&P 500 Equal Weight ETF (RSP) RSP, which weights S&P 500 components equally, lost $377.3M. Its 3.66% daily gain and $82.16B AUM highlight a potential divergence between performance and investor behavior, possibly as investors adjust sector exposure within the equity space.

iShares Russell 1000 Value ETF (IWD) IWD, focused on large-cap value stocks, saw $341.6M in outflows despite a 5.50% YTD gain. Its positive performance contrasts with the outflow, which may indicate a strategic rebalancing between value and growth segments.

ProShares Ultra S&P 500 (SSO) SSO, a 2x leveraged S&P 500 ETF, lost $322.8M. Its 1.64% daily rise and $7.89B AUM suggest investors may be reducing leveraged exposure amid market volatility or shifting risk preferences.

iShares Bitcoin Trust ETF (IBIT) IBIT, the largest Bitcoin-linked ETF, saw $317.8M in outflows. Its steep -12.79% daily drop and $60.03B AUM reflect sharp profit-taking or distress in the crypto asset class, which has experienced heightened volatility in early 2026.

Notable Trends / Surprises

The outflow list features both growth (IWF) and value (IWD) equity ETFs, alongside leveraged (SSO) and broad-market (SPY, RSP) products, suggesting a nuanced rotation within equity strategies. The inclusion of IBIT underscores crypto’s ongoing volatility, while the presence of multiple bond ETFs (VTIP, VCSH) highlights shifting fixed-income positioning.

Conclusion

Today’s outflows may indicate a tactical rebalancing across equity, bond, and crypto themes, with investors reducing exposure to overperforming or volatile assets. The mix of large-cap equity, tech, and Bitcoin outflows—coupled with bond fund withdrawals—could reflect a cautious approach to near-term market dynamics. However, the absence of a dominant sector or asset class in the outflow data suggests a fragmented shift rather than a unified market narrative.