Volume Soars In Rapidly Weakening Bank ETF

Share This Article
March 23, 2017 9:02am NYSE:KBE

NYSE:KBE | News, Ratings, and Charts

From Zacks: In the last trading session, U.S. stocks were slightly positive after a bloodbath the day earlier as investors await the outcome of Trump’s Health Care plan voting.


Among the top ETFs, investors saw SPY gain over 0.2%, and (DIAFree Report) add about 0.03% and (QQQFree Report) move higher by 0.7% 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 in 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:

KBE: Volume 3.48 times average

This financial ETF was in the spotlight yesterday as nearly 9 million shares moved hands compared with an average of roughly 2.59 million shares a day. We also saw some price movement as KBE lost nearly 0.40% last session.

The movement can largely be due to a slower rate hike trajectory guided by the Fed for this year. This can have a huge impact on financial stocks – that perform well in a rising rate environment– like what we find in this ETF portfolio. KBE was down 8.3% in the past one month and has a Zacks ETF Rank of 1 or ‘Strong Buy’ rating with a High risk outlook.

SH: Volume 2.49 times average

This inverse S&P 500 ETF was under the microscope yesterday as more than 3.97 million shares moved hands. This compares with an average trading day of around 1.60 million shares and came as SH shed about 0.14% in the session. SH, however, gained 0.5% in the past one month.

The SPDR KBW Bank ETF (NYSE:KBE) was unchanged in premarket trading Thursday. Year-to-date, KBE has declined -4.14%, versus a 4.92% rise in the benchmark S&P 500 index during the same period.

KBE currently has an ETF Daily News SMART Grade of B (Buy), and is ranked #21 of 38 ETFs in the Financial Equities ETFs category.


This article is brought to you courtesy of Zacks Research.


7 Best ETFs for the NEXT Bull Market

Read Next



Free Investing Ideas Newsletter!

Join over 70,000 investors who get the latest insights and top rated picks from our free investment newsletter.

Most Popular



9 'MUST OWN' Growth Stocks for 2021

Explore More from ETFDailyNews.com

Free Investment Newsletter

Join over 70,000 investors who get the latest insights and top rated picks from our free investment newsletter.

ETFDailyNews.com respects your privacy.

Best ETFs

We've rated and ranked nearly 2,000 ETFs and ETNs using our proprietary SMART Grade system.

View Top Rated ETFs

Best Categories

We've ranked dozens of ETF categories based on relative performance.

Best ETF Categories