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The Zacks Analyst Blog Highlights Invesco DWA Technology Momentum ETF, Invesco S&P SmallCap Value with Momentum ETF, Invesco S&P MidCap Value with Momentum ETF, VanEck Social Sentiment ETF and Momentumshares US Quantitative Momentum ETF
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For Immediate Release
Chicago, IL – May 22, 2023 – Zacks.com announces the list of stocks and ETFs featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. ETFs recently featured in the blog include: Invesco DWA Technology Momentum ETF (PTF - Free Report) , Invesco S&P SmallCap Value with Momentum ETF (XSVM - Free Report) , Invesco S&P MidCap Value with Momentum ETF (XMVM - Free Report) , VanEck Social Sentiment ETF (BUZZ - Free Report) and Momentumshares US Quantitative Momentum ETF (QMOM - Free Report) .
Here are highlights from Friday’s Analyst Blog:
Wall Street Rally: Momentum ETFs to Tap
As the week draws to a close, Wall Street appears ready to rally, with stocks closing higher on Thursday. The positive shift is primarily fueled by anticipation of an agreement on the ongoing debt ceiling debate and encouraging Q1 results from Walmart (which indicates a healthy consumer segment). Investors are keeping a close eye on the developments, hoping for a resolution that will add stability to the markets.
Debt Deal Looms?
Thomas Simmons, Jefferies US Economist, offered a hopeful perspective, stating, "We are starting to see enough common themes in their views to feel confident that a deal is going to be announced in relatively short order," as quoted on Yahoo Finance. His note on Wednesday further speculated that an announcement could come as soon as Sunday when President Biden returns from his trip to Japan for the G-7 meetings. With the Treasury's caution for a June 1 deadline, the timing seems to align for the legislative process to reach a fruitful conclusion.
Healthy Consumer in America
In the face of ongoing ambiguity, American consumers are demonstrating tenacity, a trend visible in Walmart's sturdy quarterly performance. The shares of the leading US retailer saw an uptick of 1.3% on Thursday due to reported same-store sales growth that surpassed Wall Street's expectations. Elevating investor confidence, Walmart upgraded its annual adjusted earnings per share prediction from the former band of $5.90-$6.05 to a revised spectrum of $6.10-$6.20.
FAANG Is Back
FAANG stocks have been on a rallying mode, finishing at their highest levels in at least a year. Meta Platforms is the best-performing FAANG stock this year. Still, year to date, its stock has outperformed every other FAANG stock by almost more than doubling, up 105%. The next best-performing FAANG stock was Amazon, which is up only 40%.
The strength of AI, corporate restructuring through layoffs, a moderation in interest rates and cooling inflation are helping FAANG stocks to bounce back after a struggling 2022.
Time for Momentum ETFs?
These favorable conditions suggest that Wall Street is on the brink of a rally, presenting an opportune time to invest in Momentum ETFs. These ETFs are designed to capitalize on existing market trends by investing in stocks that have shown a tendency to continue their current trajectory. As Wall Street's optimism continues to grow, these funds are likely to yield significant returns.
ETFs in Focus
Invesco DWA Technology Momentum ETF, Invesco S&P SmallCap Value with Momentum ETF, Invesco S&P MidCap Value with Momentum ETF, VanEck Social Sentiment ETF and Momentumshares US Quantitative Momentum ETF are some of the winning ETFs in the arena in the past one week.
Any Caveat?
However, it is crucial to remember that while the signs are promising, all investments carry inherent risks. The political landscape can be unpredictable, and a delay in the debt ceiling agreement could hamper the predicted rally. Similarly, while Walmart's results are encouraging, they represent just one segment of the broader market.
That being said, if the current momentum continues, inflation continues give signals of cooling and a deal on the debt ceiling is indeed reached, Wall Street is set for a rally, and momentum ETFs could prove to be an excellent investment opportunity.
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.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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The Zacks Analyst Blog Highlights Invesco DWA Technology Momentum ETF, Invesco S&P SmallCap Value with Momentum ETF, Invesco S&P MidCap Value with Momentum ETF, VanEck Social Sentiment ETF and Momentumshares US Quantitative Momentum ETF
For Immediate Release
Chicago, IL – May 22, 2023 – Zacks.com announces the list of stocks and ETFs featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. ETFs recently featured in the blog include: Invesco DWA Technology Momentum ETF (PTF - Free Report) , Invesco S&P SmallCap Value with Momentum ETF (XSVM - Free Report) , Invesco S&P MidCap Value with Momentum ETF (XMVM - Free Report) , VanEck Social Sentiment ETF (BUZZ - Free Report) and Momentumshares US Quantitative Momentum ETF (QMOM - Free Report) .
Here are highlights from Friday’s Analyst Blog:
Wall Street Rally: Momentum ETFs to Tap
As the week draws to a close, Wall Street appears ready to rally, with stocks closing higher on Thursday. The positive shift is primarily fueled by anticipation of an agreement on the ongoing debt ceiling debate and encouraging Q1 results from Walmart (which indicates a healthy consumer segment). Investors are keeping a close eye on the developments, hoping for a resolution that will add stability to the markets.
Debt Deal Looms?
Thomas Simmons, Jefferies US Economist, offered a hopeful perspective, stating, "We are starting to see enough common themes in their views to feel confident that a deal is going to be announced in relatively short order," as quoted on Yahoo Finance. His note on Wednesday further speculated that an announcement could come as soon as Sunday when President Biden returns from his trip to Japan for the G-7 meetings. With the Treasury's caution for a June 1 deadline, the timing seems to align for the legislative process to reach a fruitful conclusion.
Healthy Consumer in America
In the face of ongoing ambiguity, American consumers are demonstrating tenacity, a trend visible in Walmart's sturdy quarterly performance. The shares of the leading US retailer saw an uptick of 1.3% on Thursday due to reported same-store sales growth that surpassed Wall Street's expectations. Elevating investor confidence, Walmart upgraded its annual adjusted earnings per share prediction from the former band of $5.90-$6.05 to a revised spectrum of $6.10-$6.20.
FAANG Is Back
FAANG stocks have been on a rallying mode, finishing at their highest levels in at least a year. Meta Platforms is the best-performing FAANG stock this year. Still, year to date, its stock has outperformed every other FAANG stock by almost more than doubling, up 105%. The next best-performing FAANG stock was Amazon, which is up only 40%.
The strength of AI, corporate restructuring through layoffs, a moderation in interest rates and cooling inflation are helping FAANG stocks to bounce back after a struggling 2022.
Time for Momentum ETFs?
These favorable conditions suggest that Wall Street is on the brink of a rally, presenting an opportune time to invest in Momentum ETFs. These ETFs are designed to capitalize on existing market trends by investing in stocks that have shown a tendency to continue their current trajectory. As Wall Street's optimism continues to grow, these funds are likely to yield significant returns.
ETFs in Focus
Invesco DWA Technology Momentum ETF, Invesco S&P SmallCap Value with Momentum ETF, Invesco S&P MidCap Value with Momentum ETF, VanEck Social Sentiment ETF and Momentumshares US Quantitative Momentum ETF are some of the winning ETFs in the arena in the past one week.
Any Caveat?
However, it is crucial to remember that while the signs are promising, all investments carry inherent risks. The political landscape can be unpredictable, and a delay in the debt ceiling agreement could hamper the predicted rally. Similarly, while Walmart's results are encouraging, they represent just one segment of the broader market.
That being said, if the current momentum continues, inflation continues give signals of cooling and a deal on the debt ceiling is indeed reached, Wall Street is set for a rally, and momentum ETFs could prove to be an excellent investment opportunity.
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 >>
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.