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Gold Mining and High-Yield Bond: 2 ETFs to Watch for Outsized Volume

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In the last trading session, Wall Street slipped following the Fed’s hawkish tone for 2023 and weak retail sales data. Among the top ETFs, (SPY - Free Report) lost 2.4% and (DIA - Free Report) shed 2.2%, while (QQQ - Free Report) moved down 3.4% 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.

(SGDM - Free Report) : Volume 6.67 Times Average

This gold mining ETF was in the spotlight as around 289,000 shares moved hands compared with an average of 43,000 shares a day. We also saw some price movement as SGDM lost 3.9% in the last session.

The move was largely the result of the Fed’s hawkish view that could have a big impact on gold mining ETFs like the ones we find in this ETF portfolio. Gold is highly sensitive to rising U.S. interest rates, as these increase the opportunity cost of holding non-yielding bullion. SGDM has gained 4.3% over the past month.

(HYS - Free Report) : Volume 5.28 Times Average

This high-yield bond ETF was under the microscope as nearly 2 million shares moved hands. This compared with an average trading volume of roughly 368,000 shares and came as HYS shed 0.5% in the last trading session.

The movement can largely be blamed on rising rates that have dampened the appeal for high-yield bonds. HYS has gained 1.4% in a month and has a Zacks ETF Rank #4 (Sell) with a High risk outlook.

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