share_log

投资指南来了!美联储降息在即,哪些ETF有望受益?

Investment guide is here! With the Fed's interest rate cut imminent, which ETFs are expected to benefit?

Futu News ·  Jul 30 20:41

With the Federal Reserve's first rate decision meeting in the second half of the year on Wednesday, which is likely to determine whether the interest rate will be cut in September, it has undoubtedly attracted the attention of almost all Wall Street professionals.

In fact, as the Federal Reserve's rate cuts approach, the main theme of market trading is also rotating accordingly.

Recently, due to market expectations that the Fed will suggest an upcoming interest rate cut cycle at this week's meeting, the price of US Treasuries has continued to rise. Data compiled by the industry shows that the recent continuous rise has pushed up a key indicator of US bonds-the Bloomberg US Treasury Bond Index has risen 1.3% this month and pushed the ROI since the end of April to about 3.9%.

From historical data, the certainty of US bonds rising in the early stages of interest rate cuts is very high. In addition, the decline in real yields is also bullish for gold. Small-cap stocks, biotechnology companies and other companies with high financing needs are sensitive to interest rates, so they are expected to perform well during the interest rate cut cycle. For investors, betting on these assets through ETFs is a good choice.

In an environment of interest rate cuts, small-cap stocks may benefit more than large-cap stocks, mainly because small-cap stocks are more sensitive to rate cuts. This is because, compared with large enterprises, many small enterprises will rely more on debt.

  • In addition, there are some small-cap leveraged ETFs on the market, including double-long small-cap ETF (UWM.US) and triple-long Russell 2000 Index ETF (URTY.US).

The initial stage of the Federal Reserve's rate cut is the best trading period, and the certainty of the rise in US Treasury bonds is very high.

The representative product of the ultra-long bond ETF is iShares Treasury Bond ETF (TLT.US) under Blackrock, which mainly holds US Treasury bonds with a maturity of more than 20 years. These bonds have long durations and are very sensitive to interest rate changes.$iShares 20+ Year Treasury Bond ETF (TLT.US)$Large small-cap ETFs currently include:

Recently, due to market expectations that the Federal Reserve will indicate that the rate cut cycle is approaching at this week's meeting, US Treasury prices have been rising continuously. Data compiled by the industry shows that the recent continuous rise has pushed a key indicator of US bonds, the Bloomberg US Government Bond Index (000012.SH), up 1.3% this month and pushed the return since the end of April to about 3.9%.$Direxion Daily 20+ Year Treasury Bull 3X Shares ETF (TMF.US)$In addition, there is a triple-long 20-year+ US Treasury bond product, which is suitable for investors who have clear expectations of market fluctuations and hope to obtain high returns in the short term.

  • Futu News has selected the following ETFs for mooers' reference:

Generally, in an environment of interest rate cuts, small-cap stocks may benefit more than large-cap stocks, mainly because small-cap stocks are more sensitive to rate cuts. This is because, compared with large enterprises, many small enterprises will rely more on debt.

And the rate cuts will lower borrowing costs, which means that for small firms that rely on bank loans and floating-rate debt, this implies that their financial costs will be lowered, thereby improving profit margins.

Large small-cap ETFs currently include:$iShares Russell 2000 ETF (IWM.US)$,$Vanguard Small-Cap ETF (VB.US)$,$iShares Core S&P Small-Cap ETF (IJR.US)$.

In addition, there are some small-cap leveraged ETFs on the market, including double-long small-cap ETF (UWM.US) and triple-long Russell 2000 Index ETF (URTY.US).$Russell 2000 Index (.RUT.US)$era of$Proshares Trust Pshs Ultruss2000 (UWM.US)$The representative product of the ultra-long bond ETF is iShares Treasury Bond ETF (TLT.US) under Blackrock, which mainly holds US Treasury bonds with a maturity of more than 20 years. These bonds have long durations and are very sensitive to interest rate changes.$Direxion Daily Small Cap Bull 3X ETF (TNA.US)$.

  • Biotech ETF

During periods of low interest rates, financing and mergers and acquisitions in the biotechnology field are often very active. Even if external financing is not available, companies can maintain their daily operations by borrowing at relatively low costs.

Large-scale biotechnology ETFs in the US stock market include$SPDR S&P Biotech ETF (XBI.US)$,$ARK Genomic Revolution ETF (ARKG.US)$,$iShares Biotechnology ETF (IBB.US)$.

In addition, there is a large-scale leveraged ETF, $Direxion Daily S&P Biotech Bull 3x Shares ETF (LABU.US)$which three times long the S&P biotechnology index and is a more volatile$ChinaAMC CSI Biotechnology Theme ETF (516500.SH)$.

$China Everbright Bank (601818.SH)$A research analyst at the financial market department said that the Fed's rate-cutting cycle is bullish for gold mainly because the Fed lowers interest rates and helps to enhance the attractiveness of gold as an interest-free asset. At the same time, gold is priced in dollars and has a seesaw effect with the dollar, so gold falls when the dollar rises. The Fed's rate-cutting cycle is accompanied by a weak dollar, and the gold price performance will be better.

Currently, large-scale ETFs on the US stock market include$Efund Gold ETF (159934.SZ)$,$SPDR Gold ETF (GLD.US)$,$Gold Trust Ishares (IAU.US)$,$Spdr Gold Minishares Trust (GLDM.US)$,$ISHARES GOLD TRUST MICRO (IAUM.US)$,$Abrdn Gold ETF Trust (SGOL.US)$There are also some leveraged gold ETFs, including$MICROSECTORS GOLD 3X LEVERAGED ETN (SHNY.US)$etc.

In fact, ETF funds originated in the United States and there are many ETFs available for trading in the US stock market. Mooer can use the "Market>ETF>Screeners>Build Appropriate Strategies" function to select their favorite ETFs.Market>ETF>Screeners>Build Appropriate Strategies, select the desired ETFs.

Editor/Somer

The translation is provided by third-party software.


The above content is for informational or educational purposes only and does not constitute any investment advice related to Futu. Although we strive to ensure the truthfulness, accuracy, and originality of all such content, we cannot guarantee it.
    Write a comment