Market volatility increasing due to various factors, low-volatility ETFs offering stability

From Zacks Investment Research: 2025-01-13 12:06:26

Stock market volatility has increased due to inflation fears, Fed rate cut uncertainty, and Trump tariff ambiguity, leading to weekly declines in major indices. Small-cap Russell 2000 index enters correction territory. Low-volatility ETFs like USMV, SPLV, SPHD, LGLV, and XSLV could offer stability in the choppy market. Job report shows 256,000 jobs added in December, unemployment at 4.1%. ISM manufacturing PMI at 49.3 in December, highest since March. Consumer sentiment drops to 73.2 in January. Treasury yields surge, fueling investor caution. Low-volatility ETFs provide protection in uncertain market conditions.



Read more at Zacks Investment Research: Low Volatility ETFs to Bet on Amid Market Turmoil – January 13, 2025