Monday, November 4, 2019

No Tricks, Just Treats Last Week

Monday, November 4, 2019 – Good news all around as stock prices climbed 1.5% this past week, reaching fresh record highs. The climb was fueled by slowing but still-positive economic and corporate data beating market expectations. In addition, the Federal Reserve cut interest rates for the third time this year and alluded to a pause in lowering rates to consider economic conditions. Good news was also found in the October Jobs report. The U.S. economy added 128,000 jobs in October, well above the consensus estimate.

The large-cap S&P 500 Index and the technology-heavy Nasdaq Composite Index reached new intraday and closing highs this week, while the smaller-cap stocks remained some distance from their late-2018 peaks. Within the SPDR S&P 500 ETF (SPY), health care shares outperformed, helped by earnings beats from Merck (MRK) and Pfizer (PFE). Energy shares lagged as oil prices fell after some oversupply concerns. As to improved sentiment on Wall Street, the Cboe Volatility Index (VIX), the so-called fear gauge, touched a four-month low – another glimpse of good news.

ETFG Quant Movers – Those ETFs who have had the largest weekly change in their respective, overall ETFG Quant ratings.

ETFG Quant Winners: The top five gainers in the ETFG Quant Total Score were First Trust Nasdaq Food & Beverage ETF (FTXG), KraneShares CICC China Leaders 100 Index ETF (KFYP), Schwab Fundamental U.S. Large Company Index (FNDX), iShares Russell Mid-Cap ETF (IWR) and Vanguard Small-Cap ETF (VB) respectively. Each ETP added well over 15% to their score as behavioral scores and global factors came into play.

ETFG Quant Losers: Honorable mentions in the loser category were WBI Power Factor High Dividend ETF (WBIY), Global X US Preferred ETF (PFFD), VanEck Vectors Pharmaceutical ETF (PPH), Consumer Staples Select Sector SPDR Fund (XLP) and JPMorgan Diversified Return Emerging Markets Equity ETF (JPEM). The causes can be traced to fundamental and behavioral factors dipping slightly impacting the respective total ETFG Quant scores.

ETFG Weekly Select List - The five most highly rated ETFs per Sector, Geographic Region and Strategy as ranked by the ETFG Quant model.

Considering the sector’s success, we’d like to highlight the top ETFs within the health care sector in this week’s Select List. iShares Nasdaq Biotechnology ETF (IBB) held onto the 1st place position followed by iShares Global Healthcare ETF (IXJ) in 2nd and VanEck Vectors Biotech ETF (BBH) in 3rd place. Followed by newcomers to this week’s select list, SPDR S&P Pharmaceuticals ETF (XPH) and Invesco Dynamic Pharmaceuticals ETF (PJP) claiming the 4th and 5th spot respectively.

Thanks for reading ETF Global Perspectives!

ETFG 21 Day Free Trial:

Assumptions, opinions and estimates constitute our judgment as of the date of this material and are subject to change without notice.  ETF Global LLC (“ETFG”) and its affiliates and any third-party providers, as well as their directors, officers, shareholders, employees or agents (collectively ETFG Parties) do not guarantee the accuracy, completeness, adequacy or timeliness of any information, including ratings and rankings and are not responsible for errors and omissions or for the results obtained from the use of such information and ETFG Parties shall have no liability for any errors, omissions, or interruptions therein, regardless of the cause, or for the results obtained from the use of such information. ETFG PARTIES DISCLAIM ANY AND ALL EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO ANY WARRANTIES OF MERCHANTABILITY, SUITABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE.  In no event shall ETFG Parties be liable to any party for any direct, indirect, incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees, or losses (including, without limitation, lost income or lost profits and opportunity costs) in connection with any use of the information contained in this document even if advised of the possibility of such damages.

ETFG ratings and rankings are statements of opinion as of the date they are expressed and not statements of fact or recommendations to purchase, hold, or sell any securities or to make any investment decisions. ETFG ratings and rankings should not be relied on when making any investment or other business decision.  ETFG’s opinions and analyses do not address the suitability of any security.  ETFG does not act as a fiduciary or an investment advisor.  While ETFG has obtained information from sources they believe to be reliable, ETFG does not perform an audit or undertake any duty of due diligence or independent verification of any information it receives.

This material is not intended as an offer or solicitation for the purchase or sale of any security or other financial instrument. Securities, financial instruments or strategies mentioned herein may not be suitable for all investors.  Any opinions expressed herein are given in good faith, are subject to change without notice, and are only correct as of the stated date of their issue.  Prices, values, or income from any securities or investments mentioned in this report may fall against the interests of the investor and the investor may get back less than the amount invested.  Where an investment is described as being likely to yield income, please note that the amount of income that the investor will receive from such an investment may fluctuate.  Where an investment or security is denominated in a different currency to the investor's currency of reference, changes in rates of exchange may have an adverse effect on the value, price or income.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.