For investors seeking momentum, iShares Short Treasury Bond ETF (SHV - Free Report) is probably on the radar now. The product just hit a 52-week high and is up about 0.9% from its 52-week low price of $110.03/share.
But are more gains in store for this product? Let’s take a quick look at the product and the near-term outlook on it to get a better idea on where it might be headed:
SHV in Focus
The underlying ICE U.S. Treasury Short Bond Index intends to assess U.S. Treasury issued debt. Only U.S. dollar denominated, fixed rate securities with minimum term to maturity greater than one month and less than or equal to one year are included. The product charges 15 bps in fees (see all Government Bond ETFs here).
Why the Move?
Safe-haven trade and an emergency Fed rate cut boosted the buying of U.S. treasuries which dragged down bond yields. Investors mainly flocked to short-term U.S. treasuries. These bonds have lower default risks than the longer-term bonds. Also, the Fed announced on Mar 12 that it’s injecting up to $2 trillion into short-term lending markets to ensure seamless functioning in the Treasury bond market.
More Gains Ahead?
The product has a Zacks Rank #2 (Buy). It has a positive weighted alpha of 0.50, which gives cues of further rally.
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Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
For investors seeking momentum, iShares Short Treasury Bond ETF (SHV - Free Report) is probably on the radar now. The product just hit a 52-week high and is up about 0.9% from its 52-week low price of $110.03/share.
But are more gains in store for this product? Let’s take a quick look at the product and the near-term outlook on it to get a better idea on where it might be headed:
SHV in Focus
The underlying ICE U.S. Treasury Short Bond Index intends to assess U.S. Treasury issued debt. Only U.S. dollar denominated, fixed rate securities with minimum term to maturity greater than one month and less than or equal to one year are included. The product charges 15 bps in fees (see all Government Bond ETFs here).
Why the Move?
Safe-haven trade and an emergency Fed rate cut boosted the buying of U.S. treasuries which dragged down bond yields. Investors mainly flocked to short-term U.S. treasuries. These bonds have lower default risks than the longer-term bonds. Also, the Fed announced on Mar 12 that it’s injecting up to $2 trillion into short-term lending markets to ensure seamless functioning in the Treasury bond market.
More Gains Ahead?
The product has a Zacks Rank #2 (Buy). It has a positive weighted alpha of 0.50, which gives cues of further rally.
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 >
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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