Wall Street registered strong quarterly gains, overcoming the worst September since 2011. This is especially true as the S&P 500 enjoyed its biggest two-quarter winning streak since 2009, having risen 8.5% in Q3.

The combination of factors including prolonged support by the central bank to contain the pandemic, the progress in developing treatments and vaccines for COVID-19, the prospect of further stimulus, and the rounds of upbeat data, which indicate that the economy is on a recovery path, drove the rally. However, volatility triggered by lofty valuation concerns, resurgence in coronavirus cases, election uncertainty, and allegations of money laundering against big banks blocked the bulls.

Though all the S&P 500 sectors have fared better, except energy which tumbled almost 20%, consumer discretionary, industrials, materials, and information technology led the way higher with double-digit gains. Below we have highlighted one ETF from these outperforming sectors that raked in solid returns in the third quarter.

Consumer Discretionary – Up 15.7%

Being cyclical in nature, the consumer discretionary sector got a boost from the pick-up in economic activities. The economy is gradually returning to the pre-pandemic level, sparking investor optimism and providing enough impetus to economic-sensitive sectors. Notably, the cyclical stocks are tied to economic activities and when growth improves, these sectors perform well.

Invesco DWA Consumer Cyclicals Momentum ETF (PEZ - Free Report) has emerged as the biggest winner in this sector, jumping more than 32% in the past three months. It tracks the DWA Consumer Cyclicals Technical Leaders Index. The fund holds 43 stocks having positive relative strength (momentum) characteristics. About 30.7% of the portfolio is dominated by specialty retail while Internet & direct marketing, hotels, restaurants & leisure round out the next two spots. The fund has managed $63.4 million in its asset base while trading in a lower average daily volume of 11,000 shares. It charges 60 bps in annual fees and has a Zacks ETF Rank #3 (Hold) with a Medium risk outlook.

Industrials – Up 13.7%

The industrial sector has been recovering given that manufacturing and industrial activities have gained momentum with increase in output in spring and early summer as factories reopened. In particular, with the potential coronavirus treatment or vaccine, the demand for travel is expected to increase, thereby resulting in a spike in transportation stocks.

iShares Dow Jones Transportation Average Fund (IYT - Free Report) was up 22.3% in the third quarter. The ETF provides exposure to U.S. airlines, railroad, and trucking companies by tracking the Dow Jones Transportation Average Index. It holds a small basket of 20 stocks and charges 42 bps in fees per year from investors. Railroads takes the top spot with 36.3% share in the basket, while air freight and logistics (33.3%), trucking (17.4%) and airlines (8.8%) round off the next three. The fund has accumulated nearly $1.1 billion in AUM and trades in an average daily volume of 250,000 shares. It has a Zacks ETF Rank #3 with High risk outlook.

Materials – Up 13.1%

The Fed’s super-dovish view has resulted in strong performance in the materials sector. In particular, homebuilding corner has been booming given lower mortgage rates and higher demand for new homes. This is because record-low mortgage rates are encouraging people to buy more homes and have made refinance cheaper.

iShares U.S. Home Construction ETF (ITB - Free Report) has been leading the way, climbing 28.3% in the third quarter. This fund provides exposure to U.S. companies that manufacture residential homes by tracking the Dow Jones U.S. Select Home Construction Index. With AUM of $2.4 billion, it holds a basket of 46 stocks with heavy concentration on the top two firms. The product charges 42 bps in annual fees and trades in heavy volume of around 3 million shares a day on average. It has a Zacks ETF Rank #3 with a High risk outlook.

Information Technology – Up 11.9%

Despite the steep sell-off in September, the technology sector has shown strong resilience. The COVID-19 pandemic has led to the global digital shift, which has accelerated e-commerce for everything ranging from remote working to entertainment and shopping. The resurgence in coronavirus cases lately and the prospect of lockdowns also continued to fuel demand for Internet.

While many ETFs in the space have been soaring, MicroSectors FANG+ ETN (FNGS - Free Report) gained 31.4%. This ETN is linked to the performance of the NYSE FANG+ Index, which is an equal-dollar weighted index, designed to provide exposure to a group of highly traded growth stocks of next-generation technology and tech-enabled companies. It holds 10 stocks in equal weights of 10% each in its basket and charges 58 bps in annual fees. The product has accumulated $56 million in its asset base and trades in an average daily volume of 26,000 shares. It has a Zacks ETF Rank #3.