|Bid||42.25 x 2200|
|Ask||42.29 x 1100|
|Day's Range||42.19 - 42.41|
|52 Week Range||19.54 - 58.30|
|PE Ratio (TTM)||N/A|
|YTD Daily Total Return||73.70%|
|Beta (5Y Monthly)||10.57|
|Expense Ratio (net)||1.05%|
In an effort to rescue the U.S. economy from the effects of the COVID-19 pandemic, the Federal Reserve expended its heavy artillery on Sunday, slashing interest rates to near-zero while revealing a massive $700 billion bond-buying operation."The effects of the coronavirus will weigh on economic activity in the near term and pose risks to the economic outlook. In light of these developments, the Committee decided to lower the target range for the federal funds rate to 0 to 1/4 percent," said the Federal Open Market Committee (FOMC) in a statement. "The Committee expects to maintain this target range until it is confident that the economy has weathered recent events and is on track to achieve its maximum employment and price stability goals."As was the case when the Fed announced an emergency 50-basis point rate cut earlier this month, market reaction, judging by Sunday night futures and early Monday trading in Asia. In other words, today and the rest of this week could be an exciting time for some or of the following leveraged exchange-traded funds.Direxion Daily 20+ Year Treasury Bull 3X Shares (TMF) Long-dated Treasuries usually aren't thought of as exciting, but that reputation has been put to bed in recent weeks due to tumbling yields and increased market volatility. Well, when yields fall (as they did again Sunday evening), price rises and that's a boon for the Direxion Daily 20+ Year Treasury Bull 3X Shares (NYSE: TMF).TMF attempts to deliver triple the daily returns of the ICE U.S. Treasury 20+ Year Bond Index. That index excludes "zero-coupon STRIPS, inflation-linked securities, floating rate notes, cash management and Treasury bills, and any government agency debt issued with or without a government guarantee," according to Direxion.Last week, TMF tumbled nearly 22% as traders yanked $52.63 million from the fund, but following Sunday's Fed news, this ETF could be poised to bounce back.Direxion Daily Regional Banks Bear 3X Shares (WDRW) The disclaimer is, yes, the Direxion Daily Regional Banks Bear 3X Shares (NYSE:WDRW) plunged 35% last Friday on a day when stocks surged, but weakness in the bearish regional bank could be short-lived with the Fed taking rates to near zero.Rate-sensitive regional banks were already under pressure before the Fed's Sunday announcement due to concerns that the three rate cuts announced last year and the one revealed earlier this year would combine to depress net interest margins.As soon as today, WDRW could give signals as to how investors will treat regional banks in the wake of the Fed's latest rate cut. WDRW looks to deliver triple the daily inverse returns of the S&P Regional Banks Select Industry Index.Direxion Daily Homebuilders & Supplies Bull 3X Shares (NAIL) The Direxion Daily Homebuilders & Supplies Bull 3X Shares (NYSE: NAIL) has yet to be responsive to falling mortgage rates, indicating that the geared ETF has been swept up in broader market volatility, though it did climb 7.31% on heavy volume last Friday."Lower mortgage rates could continue to give the housing market a much-needed boost, which could translate to more strength for homebuilders," according to ETF Trends.NAIL may be in store for some weakness today, but it's worth considering over the near-term for active traders.See more from Benzinga * 3 ETFs To Short The Stock Market * Amid Oil Rout, Traders Took Profits in Popular Bear ETF * This Leveraged Oil ETN Could Have A Wild Monday(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
The S&P 500® is coming off one of the best years it’s seen in decades, the Dow Jones Industrial Average is knocking on the door of 30,000 after only 2 years in the 20,000 range and traders are unsure whether the party’s ever going to end.
Wednesday’s trading session saw yields climb after the Bureau of Labor Statistics said producer price inflation during the month of January was better than expected. Headline inflation climbed 0.5% month ...
The capital markets remain fixed on the coronavirus outbreak as more news out of China is reporting more new cases and deaths related to the illness. This is causing a sustained move to safe haven government ...
As the coronavirus continues to be the biggest question mark in the capital markets, it’s feeding into a sustained movement into safe haven government debt, which is driving Treasury yields down. The index is a market value weighted index that includes publicly issued U.S. Treasury securities that have a remaining maturity of greater than 20 years.
The Fed is looking at capping Treasury yields as an option to help stimulate the economy when the next recession takes place--a move that hasn't been done since World War II. Capping Treasury yields is a difficult concept to fathom in today's environment where yields across the globe are at lows. Direxion Daily 20+ Year Treasury Bull 3X Shares (TMF) : seeks daily investment results, before fees and expenses, of 300% of the daily performance of the ICE U.S. Treasury 20+ Year Bond Index.
Investors turned up the dial on safe haven assets to start the week’s trading session after a U.S. airstrike killed a top Iranian general last week, but Iran’s latest retaliatory measures weren’t enough to shake the markets, sending Treasury yields higher. U.S. President Donald Trump took to Twitter to quell any fears that the retaliation resulted in any casualties. Direxion Daily 7-10 Year Treasury Bull 3X Shares (TYD) : seeks daily investment results, before fees and expenses, of 300% of the daily performance of the ICE U.S. Treasury 7-10 Year Bond Index.
Direxion Daily 20+ Year Treasury Bull 3X Shares (TMF) : seeks daily investment results, before fees and expenses, of 300% of the daily performance of the ICE U.S. Treasury 20+ Year Bond Index. The index is a market value weighted index that includes publicly issued U.S. Treasury securities that have a remaining maturity of greater than 20 years. Direxion Daily 20+ Year Treasury Bear 3X ETF (NYSEArca: TMV) : seeks daily investment results before fees and expenses of 300% of the inverse (or opposite) of the daily performance of the ICE U.S. Treasury 20+ Year Bond Index.
For traders, however, this creates an environment of volatility that can not only move equities, but also Treasury notes via these four Direxion Investments ETFs. Wednesday’s trading session saw benchmark Treasury yields decline as trade war uncertainty brought back more risk-off maneuvers from investors. As such, Treasury prices went higher, which appeased the bond bulls.
When interest rates rise, bond investors tend to get itchy, because the values of their fixed-rate bond holdings are suddenly worth relatively less than the yields on newly-issued bond instruments.Fortunately, certain fixed-income products potentially benefit from rising interest rates by investing in shorter-duration bonds and by employing interest rate swaps, convertible securities, floating rate bonds, and other alternative plays.
According to the latest edition of Direxion Investments’ The Xchange, it was leveraged Treasury-focused and gold miner exchange-traded funds (ETFs) that were white hot as investors piled into fixed income assets as part of a risk-off move to safe havens. As such, there was a lot of action to be had in leveraged funds like the Direxion Daily 20+ Year Treasury Bull 3X Shares (TMF) and the Direxion Daily 7-10 Year Treasury Bull 3X Shares (TYD) . “This explains the summer’s stampede-like rush to fixed income investments, particularly treasury notes.
Among the leveraged bond ETFs experiencing elevated activity were the Direxion Daily 7-10 Year Treasury Bull 3X Shares (NYSE: TYD) and its bearish equivalent, the Direxion Daily 7-10 Year Treasury Bear 3X Shares (NYSE: TYO) as well as the Direxion Daily 20+ Year Treasury Bull 3X Shares (NYSE: TMF) and the Direxion Daily 20+ Year Treasury Bear 3X Shares (NYSE: TMV). Some of that action has matriculated into September.