Send me real-time posts from this site at my email
Zacks

Value and High-Yield: 2 ETFs to Watch on Outsized Volume

In the last trading session, U.S. stocks ended lower after rising in earlier in the day. Among the top ETFs, investors saw SPY lost 0.5%, DIA shed 0.4% and QQQ move lower by 1.2% on the day.

Two more specialized ETFs are worth noting as both saw trading volume that was far outside of normal. In fact, both these funds experienced volume levels that were more than double their average for the most recent trading session. This could make these ETFs the ones to watch out for in the days ahead to see if this trend of extra-interest continues:

SJNK: Volume 4.26 Times Average

This high-yield bond ETF was in the spotlight yesterday as nearly 6 million shares moved hands compared with an average of 1.5 million shares a day. We also saw some price movement as SJNK lost nearly 0.1% last session.

The big move was largely the result of rising bond yields that has raised demand for high-yield bond ETFs. These ETFs are less sensitive to interest rate fluctuations and provide a cushion to investors against the rising interest rates environment. SJNK shed 0.5% in the past one month and has a Zacks ETF Rank #4 (Sell) with a High risk outlook.

IUSV: Volume 4.15 Times Average

This large-cap value ETF was under the microscope yesterday as more than 1.6 million shares moved hands. This compares with an average trading day of roughly 418,000 shares and came as IUSV shed about 0.1% in the trading session.

The movement can largely be blamed on bouts of volatility that led to investors’ drive to value stocks as these are less susceptible to trending markets and their dividend payments offer safety in times of market turbulence. IUSV was down 4.5% in a month’s time and has a Zacks ETF Rank #1 (Strong Buy) with a Medium risk outlook.

Want key ETF info delivered straight to your inbox?

Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
SPDR-DJ IND AVG (DIA): ETF Research Reports
 
ISHARS-CR USV (IUSV): ETF Research Reports
 
SPDR-BBC ST HYB (SJNK): ETF Research Reports
 
NASDAQ-100 SHRS (QQQ): ETF Research Reports
 
SPDR-SP 500 TR (SPY): ETF Research Reports
 
To read this article on Zacks.com click here.
 
Zacks Investment Research
 
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report