SPDR Series Trust SPDR S&P Biotech ETF (ARCA: XBI)

Dernières nouvelles pour SPDR Series Trust SPDR S&P Biotech ETF (ARCA:XBI)

SPDR Series Trust SPDR S&P Biotech ETF

Healthcare

In seeking to track the performance of the S&P Biotechnology Select Industry Index (the index), the fund employs a sampling strategy. It generally invests substantially all, but at least 80%, of its total assets in the securities comprising the index. The index represents the biotechnology segment of the S&P Total Market Index (S&P TMI).

Novavax Inc

Insmed Inc

Moderna Inc

Natera Inc

Dyne Therapeutics Inc

Revolution Medicines Inc Ser C Pc Pp

Ptc Therapeutics Inc

Blueprint Medicines Corp

United Therapeutics Corp

Amgen Inc.

Gilead Sciences Inc

Abbvie Inc.

Biomarin Pharmaceutical Inc.

Vertex Pharmaceuticals Inc

Incyte Corp.

Alnylam Pharmaceuticals Inc.

Halozyme Therapeutics Inc

Biogen Inc.

Neurocrine Biosciences Inc

Exact Sciences Corp.

After a sharp 23% rebound in the S&amp;P 500 since April, hedge funds are now stacking record levels of bearish bets against stocks as investors question the staying power of <a href="https://www.benzinga.com/topic/tariffs">the tariff-relief rally.</a>
Hedge funds have added $25 billion in short equity futures exposure over the last three Commitments of Traders (COT) reports—marking the largest three-week increase in at least a decade. 
This surge underscores deepening skepticism about the market's resilience following its V-shaped recovery after the tariff selloff.
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<blockquote class="twitter-tweet" data-width="500" data-dnt="true">Hedge Funds have added $25 Billion of short equity futures exposure over the last 3 COT reports, the largest increase AT LEAST the last decade &#x1f6a8;&#x1f6a8; <a href="https://t.co/WxiEjHlmDS">pic.twitter.com/WxiEjHlmDS</a>
&mdash; Barchart (@Barchart) <a href="https://twitter.com/Barchart/status/1925047520272502901?ref_src=twsrc%5Etfw">May 21, 2025</a></blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></div>
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Gross leverage, which includes both long and short exposures, has climbed to an all-time high, according to Goldman Sachs analyst Ben Snider. 
Although net leverage—longs minus shorts—remains below February levels, the acceleration in short interest has changed the landscape.
&#8220;As growth and inflation begin to reaccelerate, hedge funds and CTAs continue to fight the cycle—doubling down on long bonds and short risk. The macro bears aren't giving up without a fight,&#8221; said Oskar Vårdal, analyst at Steno Research. 
<h3 class="wp-block-heading">Where Are Hedge Funds Targeting Shorts?</h3>
Funds are targeting both exchange-traded funds (ETFs) and single-name stocks. 
According to data from Goldman Sachs, ETF short interest hit $218 billion in the second quarter, while single-stock short interest reached $948 billion. In over a decade, April alone saw the most significant jump in U.S. ETF short selling.
Among U.S.-listed ETFs, SPDR S&amp;P Regional Banking ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KRE#NYSE">KRE</a>) saw its short interest soar by 50 percentage points since mid-February, now totaling 96% of float. SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>) rose 27 points to 111%, while iShares Russell 2000 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IWM#NYSE">IWM</a>) climbed to 33%.
ETFs with the most historically elevated short interest include VanEck Gold Miners ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GDX#NYSE">GDX</a>) at 12% of float (100th percentile vs. history, First Trust NASDAQ-100 Tech ETF (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/qtec#NASDAQ">QTEC</a>) at 4% (98th percentile), and iShares Core S&amp;P Mid-Cap ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IJH#NYSE">IJH</a>) with $1 billion shorted (98th percentile).
<h3 class="wp-block-heading">Defensive Sectors Are Under Pressure</h3>
The rise in short interest has been especially acute in defensive sectors. Short interest in consumer staples, utilities, and healthcare sectors now ranks in the top quintile compared to historical norms. The median S&amp;P 500 stock now has a 2.3% short interest relative to market cap, ranking in the 61st percentile over the last 30 years.
Only the financials and information technology sectors show short interest below their long-term averages.
<h3 class="wp-block-heading">Which Stocks Are Being Targeted By The Heaviest Bearish Bets?</h3>
Large-cap stocks that have seen the biggest spikes in short interest since the February peak include:
<ul class="wp-block-list">
<li>Somnigroup International Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SGI#NYSE">SGI</a>): 13% of float, up 10 percentage points.</li>
<li>Lucid Group Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/LCID#NASDAQ">LCID</a>): 30% of float, up 8pp. </li>
<li>Amer Sports Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AS#NYSE">AS</a>): 12% of float, up 8pp.</li>
<li>Medpace Holdings Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MEDP#NASDAQ">MEDP</a>): 11% of float, up 6pp. </li>
<li>Moderna Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MRNA#NASDAQ">MRNA</a>): 18% of float, up 6pp.</li>
<li>First Solar Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FSLR#NASDAQ">FSLR</a>): 11% of float, up 5pp. </li>
</ul>
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Hedge Funds Are Building A Towering Wall Of Bets Against Stocks

Novavax Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVAX#NASDAQ">NVAX</a>) has received limited approval from the U.S. Food and Drug Administration for its COVID-19 vaccine, Nuvaxovid, marking a regulatory milestone and unlocking a <a href="https://www.benzinga.com/pressreleases/25/05/n45489838/u-s-fda-approves-bla-for-novavaxs-covid-19-vaccine" target="_blank" rel="noreferrer noopener">$175 million milestone payment</a> from partner Sanofi SA (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SNY#NASDAQ">SNY</a>).
The protein-based vaccine, distinct from mRNA options by Pfizer Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PFE#NYSE">PFE</a>) and BioNTech SE (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/BNTX#NASDAQ">BNTX</a>), is now authorized for people aged 65 and older and for individuals 12 and up with underlying medical conditions that increase the risk of severe COVID-19. 
The approval came after a six-week delay as regulators sought additional data.
Related: <a href="https://www.benzinga.com/government/regulations/25/05/45488265/novavax-wins-limited-fda-nod-for-covid-shot-cleared-only-for-seniors-high-risk-groups-amid-safety-scrutiny" target="_blank" rel="noreferrer noopener">Novavax Wins Limited FDA Nod For COVID Shot—Cleared Only For Seniors, High-Risk Groups Amid Safety Scrutiny</a>         
Novavax CEO John C. Jacobs called the decision "a significant milestone" and emphasized the company's commitment to vulnerable populations. The CDC has noted that these groups will most likely seek seasonal COVID vaccinations.
The approval comes as CDC advisers weigh adjustments to annual COVID shot guidance, potentially narrowing recommendations to older adults and high-risk groups.
Novavax plans to begin commercial distribution of its 2025–2026 formula this fall, pending strain selection at the FDA advisory committee meeting on May 22. The company is also working with Sanofi to fund a Phase 4 study in adults 50–64 without high-risk conditions, as requested by the FDA.
Financially, Novavax reaffirmed its 2025 forecast for R&amp;D and SG&amp;A expenses between $475 million and $525 million. It plans to cut these to around $350 million in 2026 and $250 million by 2027, according to BZ Pro.
Related ETFs: iShares Biotechnology ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/IBB#NASDAQ">IBB</a>), SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>)
Price Action: NVAX shares are trading higher by 19.0% at $8.01 premarket at the last check on Monday.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Now Read:
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</ul>
Image: Shutterstock

News

BNTX

NVAX

Novavax Scores Key FDA Win, Shares Jump 19% As Sanofi Unlocks Milestone Payment

FDA Commissioner Marty Makary on Tuesday named Vinay Prasad the next director of the U.S. Food and Drug Administration&#8217;s (FDA) Center of Biologics Evaluation and Research (CBER).
Dr. Prasad has openly criticized the biopharma industry and the FDA for using accelerated approvals broadly based on surrogate endpoints.
&#8220;We are surprised by the announcement because it seems to be in stark contrast to themes and initiatives that have been laid out by Dr. Makary, and it comes on the heels of large personnel departures across the FDA, raising questions on the ability to meet review timelines,&#8221; writes <a href="https://www.benzinga.com/topic/william-blair">William Blair </a>of Blue Matrix.
Also Read: <a target="_blank" href="https://www.benzinga.com/25/05/45234032/fda-expands-surprise-inspections-at-foreign-drug-and-food-facilities-targets-double-standards-in-overseas-manufac" rel="noreferrer noopener">FDA Expands Surprise Inspections At Foreign Drug And Food Facilities, Targets Double Standards In Overseas Manufacturing Oversight</a>
Analyst Matt Phipps adds that there are many questions about how Prasad will shape regulatory decisions as the new head of CBER. Investors also seem confused about what CBER regulates compared to the Center of Drug Evaluation and Research (CDER).
Generally, drugs like antibodies, bispecifics and antibody-drug conjugates (ADCs) are reviewed by CDER, even though they use biologics license applications (BLAs).
CBER, on the other hand, oversees gene and cell therapies, vaccines and some other biological products. CDER typically handles therapeutic antibodies, proteins, cytokines and enzymes.
Blair wrote on Tuesday that for cell and gene therapies stocks that have reacted negatively, there are outstanding questions and increased uncertainty now as the analyst waits to see whether Makary or Prasad will have more impact on the guidelines and regulatory development requirements for these novel therapies, particularly in rare diseases.
Since being confirmed as commissioner, Makary has advocated for more accelerated approval opportunities for ultrarare diseases or therapies with overwhelming efficacy.
The vaccine space continues to face negative sentiment from HHS Secretary Robert F. Kennedy Jr., who requested placebo-controlled studies for new vaccine approvals.
Prasad&#8217;s appointment at CBER will likely continue to pressure this sector.
&#8220;Under Secretary Kennedy&#8217;s leadership, all new vaccines will undergo safety testing in placebo-controlled trials prior to licensure — a radical departure from past practices,&#8221; HHS <a target="_blank" href="https://edition.cnn.com/2025/04/30/health/hhs-vaccine-placebo-testing" rel="noreferrer noopener">told</a> CNN in a statement Wednesday.
Blair writes that from the coverage list, Moderna Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MRNA#NASDAQ">MRNA</a>) has seen a sharp sell-off and remains in a difficult position with a politically out-of-favor mRNA vaccine technology and a potentially more restrictive CBER head and review process for new vaccine products.
In contrast, Dynavax Technologies Corporation (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/DVAX#NASDAQ">DVAX</a>) remains largely insulated given that Heplisav is approved and the analyst sees less scrutiny on adult vaccines that are not being pushed as mandatory.
Taysha Gene Therapies (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSHA#NASDAQ">TSHA</a>) fell 18%, Solid Biosciences Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SLDB#NASDAQ">SLDB</a>) closed 20.3% lower, Capricor Therapeutics Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CAPR#NASDAQ">CAPR</a>) stock closed 29% lower, Crispr Therapeutics AG (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CRSP#NASDAQ">CRSP</a>) stock closed 12% lower, Sarepta Therapeutics Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SRPT#NASDAQ">SRPT</a>) stock closed 27% lower, Moderna fell 12%, Pfizer Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PFE#NYSE">PFE</a>) fell 4.2%, and Novavax Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVAX#NASDAQ">NVAX</a>) closed 3.2% on Tuesday. Virtus LifeSci Biotech Clinical Trials ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BBC#NYSE">BBC</a>) closed 9.74% lower at $17.15 and SPDR Series Trust SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>) fell 6.63% to $77.17 on Tuesday.
Read Next:
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<li><a href="https://www.benzinga.com/25/05/45237060/despite-nikes-executive-overhaul-ongoing-challenges-persist-says-analyst" target="_blank" rel="noreferrer noopener">Nike Revamps C-Suite, &#8216;Win Now&#8217; Strategy Faces Profit Pressure: Analyst</a></li>
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TSHA

Vinay Prasad's Appointment To FDA's CBER Triggers Questions Over Future Of Cell And Gene Therapy Regulation

WIIM

BHVN

MARA

XNCR

Shares of vaccine and gene therapy stocks are trading lower after FDA Commissioner Marty Makary reportedly named Vinay Prasad as director of the Center for Biologics and Research.

<a href="https://news.bloomberglaw.com/health-law-and-business/fda-names-vinay-prasad-as-new-head-of-vaccines-biologics" title="https://news.bloomberglaw.com/health-law-and-business/fda-names-vinay-prasad-as-new-head-of-vaccines-biologics">https://news.bloomberglaw.com/health-law-and-business/fda-names-vinay-prasad-as-new-head-of-vaccines-biologics</a>

DSGN

PTCT

'FDA Names Vinay Prasad as New Head of Vaccines, Biologics'- Bloomberg Law

Vaccine stocks are trading lower Monday following a shakeup at the <a href="https://www.benzinga.com/markets/25/03/44550801/rfk-jr-spreading-misinformation-and-lies-fdas-top-vaccine-official-walks-out-sparking-debate-on-safety-and-public-trust">U.S. Food and Drug Administration</a>.
What Happened: Peter Marks has resigned from his role at the FDA&#8217;s Center for Biologics Evaluation and Research. According to a Bloomberg<a href="https://www.bloomberg.com/news/articles/2025-03-31/vaccine-makers-plunge-after-fda-biologics-head-marks-steps-down?srnd=homepage-uk&amp;embedded-checkout=true"> report</a>, Marks was a top regulator at the FDA and played a key role in pushing quick approvals of vaccines during the Covid pandemic. 
Moderna Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MRNA#NASDAQ">MRNA</a>) shares were down 13.5% at $26.88 and Novavax Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVAX#NASDAQ">NVAX</a>) shares were down 9.6% at $6.30 at last check. The SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>) was down about 5.76% at publication time, according to <a href="http://pro.benzinga.com">Benzinga Pro</a>.
The report indicates that Marks was also responsible for the FDA&#8217;s evaluation of cutting-edge treatments like cell therapies and gene therapies. He reportedly cited some issues with Health and Human Services Secretary Robert F. Kennedy Jr. in his resignation letter.
"I was willing to work to address the Secretary's concerns regarding vaccine safety and transparency," Marks reportedly said in the letter. 
"However it has become clear that truth and transparency are not desired by the Secretary, but rather he wishes subservient confirmation of his misinformation and lies."
Check This Out: <a href="https://www.benzinga.com/25/03/44560524/auto-stocks-skid-after-trump-shrugs-off-higher-prices-should-you-buy-the-dip">Auto Stocks Skid After Trump Shrugs Off Higher Prices &#8211; Should You Buy The Dip?</a>
The news comes after vaccine stocks came under pressure last week following reports The Trump administration plans to end financial support for vaccine alliance Gavi, which helps buy vaccines for children in developing countries. The Trump administration reportedly plans to cut billions in global health initiatives. 
Moderna was awarded $590 million by the U.S. Department of Health and Human Services (HHS) in January to continue developing a vaccine to protect against bird flu. The Trump administration was reportedly&nbsp;<a href="https://www.benzinga.com/25/02/43999106/trumps-officials-to-re-consider-modernas-590-million-bird-flu-vaccine-funding-hhs-cites-biden-administrations-failed-oversight" target="_blank" rel="noreferrer noopener">reconsidering that funding</a>&nbsp;as of last month.
Read Next:
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<li><a href="https://www.benzinga.com/insights/options/25/03/44518123/modernas-options-frenzy-what-you-need-to-know">Moderna&#8217;s Options Frenzy: What You Need to Know</a></li>
</ul>
Photo: Shutterstock.

Moderna, Novavax Shares Are Tumbling Monday: What's Going On?

Robert F. Kennedy Jr.&#8216;s appointment as U.S. Secretary of Health and Human Services has sparked concerns over funding for the National Institutes of Health. Analysts warn that potential cuts to this funding could lead to increased &#8220;uncertainty&#8221; in the healthcare sector, potentially impacting healthcare stocks.
What Happened: The NIH grants are &#8220;very important&#8221; sources of funding for a lot of labs out there, said Kyle Mikson, managing director and senior research analyst in <a href="https://www.buzzsprout.com/2414939/episodes/16662667">conversation</a> with Michael Graham, senior managing director and head of U.S. equity research internet analyst at Canaccord Genuity. 
Talking about RFK Jr.&#8217;s appointment Mikson said &#8220;He&#8217;s got some opposition to vaccines, to infectious disease research.&#8221; Highlighting the possible funding cuts along with caps on grants, Mikson added, "Things like that are causing uncertainty, causing, you know, stocks to decline."
Kennedy, known for his vaccine skepticism and conspiracy theories, has extended his influence globally, undermining health initiatives like vaccination and AIDS prevention, The New York Times <a href="https://www.nytimes.com/2024/11/30/world/africa/rfk-jr-kennedy-international-work-public-health-policies.html">reports</a>. Through his nonprofit, Children's Health Defense, Kennedy has <a href="https://www.benzinga.com/markets/equities/24/11/42254495/trumps-hhs-pick-rfk-jr-has-a-long-history-of-challenging-global-health-policies">disrupted public health efforts</a> in countries like Uganda and South Africa. He has also questioned the World Health Organization and its programs for fueling global health conspiracies.
The Donald Trump-led <a href="https://www.benzinga.com/general/health-care/25/01/43194764/trump-administration-halts-all-communications-from-the-centers-for-disease-control-as-bird-flu-spreads">administration</a> is trying to set caps at around 15% and 10% for some labs which is delayed due to broad opposition by many states. While this is detrimental to some NIH-funded labs, others have stated that they can function without indirect cost funding or support.
While, NIH awarded about $2.5 billion in grants in the first six weeks of 2024, this year, that number has plummeted to $1.4 billion.
See Also: <a href="https://www.benzinga.com/25/02/43906366/warren-buffetts-berkshire-boosts-bets-on-five-japanese-companies-admiration-has-consistently-grown-says-oracle-of-omaha-in-letter-to-shareholders">Warren Buffett&#8217;s Berkshire Boosts Bets On 5 Japanese Companies: Oracle Of Omaha Says Admiration &#8216;Has Consistently Grown&#8217;</a>
Why It Matters: While there isn't going to be a blanket impact of these caps on all healthcare firms, Mikson explains that companies that are academically focused are more likely to be impacted as compared to the ones with a mixed revenue base.
However, when considering investment opportunities, especially for growth-oriented companies with research-driven businesses, the impact is particularly important, Mikson explained.
According to the <a href="https://www.benzinga.com/markets/equities/25/02/43878703/institutional-investors-load-up-on-technology-and-financial-stocks-in-q4-while-reducing-positions-in-healthcare-sector-amid-political-uncertainty">13F SEC filings</a> during the fourth quarter, healthcare sectors experienced a sharp decline in investments, with allocations dropping by 1.4%. Adam Turnquist, the chief technical strategist at LPL Financial said that "The nomination of the so-called anti-vaccine Health Secretary, Robert F. Kennedy, Jr., and the potential for reduced Affordable Care Act subsidies," was also a potential trigger.
Kennedy&#8217;s appointment comes as healthcare costs rise and <a href="https://www.benzinga.com/general/health-care/25/02/43549057/deadly-bird-flu-strain-hits-dairy-cows-could-make-covid-seem-like-a-walk-in-the-park-expert-says">bird flu spreads</a>, raising pandemic concerns. A longtime vaccine skeptic, his stance could impact pharmaceutical companies like Pfizer Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PFE#NYSE">PFE</a>) and Moderna Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MRNA#NASDAQ">MRNA</a>), especially as he has questioned the safety and efficacy of bird flu vaccines.
Here is a list of healthcare sector-linked exchange-traded funds, that investors could consider while trying to gain exposure to the sector.
<figure class="wp-block-table is-style-stripes"> 
<table>
<tbody>
<tr>
<td>ETF Name</td>
<td>YTD Performance</td>
<td>One Year Performance</td>
</tr>
<tr>
<td>Health Care Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLV#NYSE">XLV</a>)</td>
<td>6.41%</td>
<td>-0.46%</td>
</tr>
<tr>
<td>Vanguard Health Care ETF VHT (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VHT#NYSE">VHT</a>)</td>
<td>5.79%</td>
<td>-0.19%</td>
</tr>
<tr>
<td>iShares Biotechnology ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/IBB#NASDAQ">IBB</a>)</td>
<td>4.51%</td>
<td>-0.18%</td>
</tr>
<tr>
<td>SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>)</td>
<td>0.19%</td>
<td>-5.79%</td>
</tr>
<tr>
<td>iShares U.S. Medical Devices ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IHI#NYSE">IHI</a>)</td>
<td>10.36%</td>
<td>12.22%</td>
</tr>
<tr>
<td>iShares Global Healthcare ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IXJ#NYSE">IXJ</a>)</td>
<td>6.67%</td>
<td>-0.57%</td>
</tr>
<tr>
<td>iShares U.S. Healthcare ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IYH#NYSE">IYH</a>)</td>
<td>5.52%</td>
<td>-0.26%</td>
</tr>
<tr>
<td>Fidelity MSCI Health Care Index ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FHLC#NYSE">FHLC</a>)</td>
<td>5.90%</td>
<td>-0.27%</td>
</tr>
<tr>
<td>ARK Genomic Revolution ETF (BATS:<a class="ticker" href="https://www.benzinga.com/stock/ARKG#BATS">ARKG</a>)</td>
<td>10.14%</td>
<td>-14.26%</td>
</tr>
<tr>
<td>First Trust NYSE Arca Biotechnology Index Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FBT#NYSE">FBT</a>)</td>
<td>6.72%</td>
<td>16.97%</td>
</tr>
</tbody>
</table>
</figure>
Read Next:
<ul>
<li><a href="https://www.benzinga.com/markets/equities/25/02/43878703/institutional-investors-load-up-on-technology-and-financial-stocks-in-q4-while-reducing-positions-in-healthcare-sector-amid-political-uncertainty">Institutional Investors Load Up On Technology And Financial Stocks In Q4 While Reducing Positions In Healthcare Sector Amid Political Uncertainty</a></li>
</ul>
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iShares Trust Dow Jones US Healthcare Sector Index Fund

NIH Funding Cuts To Spook Healthcare Stocks? RFK Jr's Confirmation At HHS Sparks Concerns Over Research Dollars, 'Causing Uncertainty,' Says Analyst

Investors are scrambling to assess the potential fallout of yet <a href="https://www.benzinga.com/topic/tariffs">another tectonic trade decision</a>. 
What Happened: President Donald Trump plans to impose a 25% levy on <a href="https://www.benzinga.com/25/02/43805852/trump-shakes-global-trade-with-25-auto-chip-and-pharma-tariffs-announcement-asian-stocks-pare-their-five-day-rally">auto, semiconductor, and pharmaceutical imports</a>,
This move could have far-reaching consequences for <a href="https://www.benzinga.com/etfs">ETFs with heavy exposure to these sectors</a>, particularly those tracking automakers, chipmakers, and biotech firms.
Trump's protectionist stance triggered an immediate market response across the global markets. Asian stocks retreated after a five-day rally, with the MSCI Asia Pacific Index slipping, particularly affecting Japanese automakers like Toyota Motor Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TM#NYSE">TM</a>).
Also Read: <a href="https://www.benzinga.com/news/global/25/02/43795579/warren-buffett-unfazed-by-trumps-tariff-threats-oracle-of-omaha-bets-on-mexico-beer">Warren Buffett Unfazed By Trump&#8217;s Tariff Threats: Oracle Of Omaha Bets On Mexico, Beer</a>
Automakers: The U.S. imported around 8 million passenger cars and light trucks last year, comprising 50% of total vehicle sales, according to a report by Wall Street Journal. A 25% tariff would increase vehicle prices, impact supply chains, and hurt companies dependent on overseas manufacturing. 
Here are a few ETFs likely to take a hit:
<ul>
<li>Global X Autonomous &amp; Electric Vehicles ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/DRIV#NASDAQ">DRIV</a>): Fairly exposed to Toyota, Tesla (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>), and Ford (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/F#NYSE">F</a>), this fund could face turbulence as trade tensions mount.</li>
</ul>
<ul>
<li>First Trust NASDAQ Global Auto Index Fund (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CARZ#NASDAQ">CARZ</a>): Tracks major global automakers, including BMW, Honda, and General Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GM#NYSE">GM</a>), which rely on imported parts. The ETF also has significant exposure to Toyota and Tesla and allocates 46% of its assets to overseas stocks. That places it in a precarious position amid escalating tariff situations.</li>
</ul>
Chips: Trump also declared that sectoral tariffs on semiconductors would start at "25% or higher", escalating further over time. This comes as the U.S. considers a 100% tariff on Taiwanese semiconductors, an industry heavily reliant on TSMC (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>).
<ul>
<li>iShares Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SOXX#NASDAQ">SOXX</a>) – With Nvidia (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>), Advanced Micro Devices (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMD#NASDAQ">AMD</a>), and Broadcom (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVGO#NASDAQ">AVGO</a>) among its top holdings, this fund is exposed to volatility stemming from supply chain disruptions.</li>
</ul>
<ul>
<li>VanEck Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SMH#NASDAQ">SMH</a>) – Heavily weighted towards TSMC, Intel (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>), and Qualcomm (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QCOM#NASDAQ">QCOM</a>), making it vulnerable to any tariff escalation.</li>
</ul>
Pharma: The pharmaceutical sector is also caught in the crosshairs, with Trump hinting at escalating tariffs beyond 25% over the year. This could upend drug pricing, R&amp;D costs, and supply chain dynamics for major biopharma companies.
<ul>
<li>iShares U.S. Pharmaceuticals ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IHE#NYSE">IHE</a>): Tracks major drugmakers like Pfizer (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PFE#NYSE">PFE</a>), Merck (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MRK#NYSE">MRK</a>), and Johnson &amp; Johnson (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/JNJ#NYSE">JNJ</a>), all of which could see higher costs.</li>
</ul>
<ul>
<li>SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>): While biotech firms often have global R&amp;D operations, increased tariffs could disrupt access to imported drug components.</li>
</ul>
Why It Matters: Trump has long voiced concerns over U.S. automotive exports being treated unfairly abroad. In his first term, he threatened a similar 25% car tariff but ultimately backed down.
For ETF investors, volatility is back on the table. Those holding funds exposed to autos, chips, and pharmaceuticals must brace for a bumpy ride. While Trump believes the move will bring manufacturing back home, the short-term pain could be severe.
The Wall Street Journal reported that U.S. companies may receive a phase-in period, with tariffs increasing over the course of the year.
What's Next: Markets will be watching closely as April 2 (when auto tariffs are expected to kick in) approaches. Any delays or modifications to the tariff plan could shift investor sentiment. 
For now, ETF traders should keep an eye on sectoral rotation, hedge exposure where necessary, and prepare for the potential impact of another round of trade wars.
Read Next: 
<ul>
<li><a href="https://www.benzinga.com/etfs/broad-u-s-equity-etfs/25/02/43794873/vanguard-overtakes-state-street-as-top-etf-provider-3-funds-in-focus">Vanguard Overtakes State Street As Top ETF Provider: 3 Funds In Focus</a></li>
</ul>
Photo: Shutterstock

AAPL

AVGO

CARZ

DRIV

iShares Dow Jones US Pharmaceuticals Index Fund

INTC

NVDA

QCOM

iShares PHLX SOX Semiconductor Sector Index Fund

SOXX

TSLA

Trade War Redux: These ETFs Due For Bumpy Ride Thanks To Trump Tariffs On Auto, Pharma, Chip Imports

Investors may be underestimating Donald Trump&#8216;s potential push for fiscal discipline, making long-term bonds and rate-sensitive sectors an attractive bet, according to Bank of America&#8217;s chief <a href="https://www.benzinga.com/topic/expert-ideas">investment strategist Michael Hartnett. </a>
In his flagship &#8216;The Flow Show&#8217; report published Friday, Hartnett shifted to a bullish stance on bonds, stressing that the yield spike seen in recent months has created an opportunity. 
&#8220;20-year corporate bonds now yielding 6.3%, pension funds would be looking to park some of those gains in bonds,&#8221; he said, recommending investors &#8220;buy long duration bonds.&#8221;
Hartnett indicated the case for duration bonds – as commonly tracked by the iShares 20+ Year Treasury Bond ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TLT#NASDAQ">TLT</a>) – is strengthening as U.S. government spending slows, the Federal Reserve keeps a cautious stance on inflation, and yields approach peak levels.
<h3 class="wp-block-heading">Is The Bond Bear Market Peaking?</h3>
The past two years have been brutal for fixed-income investors. 
Higher-for-longer interest rates and rising deficits crushed bond prices, and since the Federal Reserve's 100-basis-point interest rate cuts, bonds have remained the worst-performing asset class. 
Yet Hartnett sees the tide turning.
Historically, rolling 10-year returns from U.S. Treasuries have never been negative over the past 90 years. The market has reached what he calls the &#8220;peak in &#8216;anything but bonds&#8217; trade of the 2020s.&#8221;
The technical backdrop also suggests stabilization. The 30-year Treasury yield has hit a double top at 5%, a level Hartnett believes represents strong resistance.
If yields retreat toward 4%, a diversified low-risk bond portfolio—comprised of Treasuries, investment-grade debt, high-yield bonds, and emerging market credit—could generate 11%-12% annualized returns, Hartnett highlighted.
A higher-risk allocation, with greater exposure to junk bonds and preferred securities, could yield up to 15%.
<h3 class="wp-block-heading">Trump's Fiscal Shift </h3>
As Hartnett highlighted, the U.S. budget deficit has risen to $7.3 trillion, fueling a 50% surge in nominal GDP, with government spending contributing significantly to economic growth.
Yet, according to the expert with the Fed prioritizing inflation control and Trump likely pushing for spending cuts, deficits could shrink, reducing upward pressure on yields. 
&#8220;We say Trump&#8217;s need for &#8216;smaller government&#8217; = &#8216;twin peak&#8217; in 5% bond yields,&#8221; Hartnett said.
Scott Bessent, Trump's nominee for Treasury Secretary, made it clear during his Senate confirmation hearing on Thursday that tackling government spending <a href="https://www.benzinga.com/government/regulations/25/01/43041207/5-things-investors-need-to-know-about-scott-bessents-economic-policies-as-he-faces-senate-grilling-for-treasury-job">will be a top priority.</a>
&#8220;We have a spending problem,&#8221; he said, emphasizing the need for significant reductions in government outlays.
Bessent indicated runaway spending as a key reason he joined the Trump campaign, signaling his commitment to aggressive fiscal tightening. 
&#8220;One of the things that got me out from behind my desk and my quiet life in this campaign was the thought that this spending is out of control,&#8221; Bessent said.
<h3 class="wp-block-heading">The Bond Market's Attractive Risk-Reward Profile</h3>
At current levels, the bond market presents what Hartnett describes as a &#8220;very good&#8221; risk-reward profile. 
A scenario where yields drop 100 basis points (1 percentage point) could generate strong returns, while even a rise in yields may not severely dent total performance. 
With yields near 5%, the worst may be over for bonds, according to Hartnett&#8217;s calculations. 
<figure class="wp-block-table is-style-stripes"> 
<table>
<thead>
<tr>
<th>Portfolio Type</th>
<th>Current Yield (%)</th>
<th>Duration</th>
<th>Convexity</th>
<th>1-Year Return (If Yields Drop 100bps)</th>
<th>2-Year Return (If Yields Drop 100bps)</th>
<th>1-Year Return (If Yields Rise 100bps)</th>
<th>2-Year Return (If Yields Rise 100bps)</th>
</tr>
</thead>
<tbody>
<tr>
<td>Low-risk bond portfolio</td>
<td>5.7%</td>
<td>6.5</td>
<td>1.1</td>
<td>12%</td>
<td>17%</td>
<td>-1.0%</td>
<td>5%</td>
</tr>
<tr>
<td>High-risk bond portfolio</td>
<td>7.5%</td>
<td>7.0</td>
<td>0.9</td>
<td>15%</td>
<td>22%</td>
<td>0.4%</td>
<td>8%</td>
</tr>
</tbody>
</table>
<figcaption class="wp-element-caption">Source: Bank of America</figcaption></figure>
<h3 class="wp-block-heading">Which Sector ETFs Stand To Benefit?</h3>
Investors looking to position for lower yields should consider rate-sensitive exchange-traded funds. 
Hartnett's report highlights opportunities in:
<ul>
<li>SPDR S&amp;P Homebuilders ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XHB#NYSE">XHB</a>): Lower mortgage rates could revive housing demand.</li>
<li>Utilities Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLU#NYSE">XLU</a>): Defensive, dividend-paying stocks tend to outperform in a falling rate environment.</li>
<li>Financial Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLF#NYSE">XLF</a>): Banks benefit from a steepening yield curve and deregulation.</li>
<li>SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>): Growth stocks, including biotech, typically gain as borrowing costs decrease.</li>
</ul>
Read Next: 
<ul>
<li><a href="https://www.benzinga.com/economics/macro-economic-events/25/01/42990155/5-yields-fuel-demand-treasury-etfs-despite-bond-market-pain-relief-rally">5% Yields Fuel Demand For Long-Dated Treasury ETFs Despite Bond Market Pain: Is A Relief Rally On The Horizon?</a></li>
</ul>
Photo: Shutterstock

Bonds

Specialty ETFs

Treasuries

Economics

Federal Reserve

iShares Trust Barclays 20+ Year Treasury Bond Fund

'Buy Long Duration Bonds,' Says Bank Of America Strategist: 4 ETFs To Watch As Trump's Deficit Fight Unfolds

The U.S. reported its <a href="https://www.benzinga.com/general/biotech/25/01/42854890/us-records-first-human-bird-flu-death-high-levels-of-respiratory-illnesses-vaccine-stocks-rally">first human death</a> from the H5 bird flu strain this week, causing a spike in vaccine developer stocks Moderna (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MRNA#NASDAQ">MRNA</a>), Novavax (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVAX#NASDAQ">NVAX</a>), CureVac (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CVAC#NASDAQ">CVAC</a>) and Pfizer (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PFE#NYSE">PFE</a>).
Vaccine production efforts are ramping up as health officials monitor the outbreak closely. In<a href="https://www.cdc.gov/bird-flu/situation-summary/index.html" target="_blank" rel="noreferrer noopener"> an update </a>on Monday, CDC said there have been 66 confirmed cases in the U.S. in the 2024 outbreak. 
CDC said the public risk remains low. Bird flu has severely impacted poultry farms and cattle herds across 16 states, marking the worst outbreak of its kind.
See Also: <a href="https://www.benzinga.com/news/25/01/42851023/why-novavax-nvax-stock-is-rising">Why Novavax (NVAX) Stock Is Rising</a>
<h3 class="wp-block-heading">Vaccine Providers in the Limelight</h3>
In the U.S., vaccines against H5N1 are already stockpiled. Approved shots include those from Sanofi (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SNY#NASDAQ">SNY</a>), CSL Seqirus, and ID Biomedical Corporation of Quebec, a subsidiary of GlaxoSmithKline (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GSK#NYSE">GSK</a>), which collectively secured $72 million in funding from the U.S. health department in October to boost the production of bird flu vaccines. These traditional vaccines, developed years ago, target older H5N1 strains but are expected to offer some protection.
Moderna, backed by $176 million from the U.S. government's BARDA, is working on an updated mRNA H5N1 vaccine. Other players, including Pfizer and GSK (in collaboration with CureVac), are testing similar candidates.
<h3 class="wp-block-heading">ETFs in Focus</h3>
For investors who want to play the trend but are wary of choosing individual biotech stocks, here are three ETFs that offer diversified exposure to the biotech companies leading the vaccine efforts. With a mix of traditional and mRNA vaccine developers in focus, these funds could benefit as the world prepares for a potential bird flu pandemic.
iShares Genomics Immunology and Healthcare ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IDNA#NYSE">IDNA</a>) tracks the NYSE FactSet Global Genomics and Immuno Biopharma Index, and has already gained 2.5% so far this year. The fund has an expense ratio of 0.47%, and $129.97 million in assets under management (AUM). The fund has currently invested 4.48% of its assets in Moderna. Sanofi, GSK and Novavax are also part of its portfolio of 51 equity holdings.
First Trust Nasdaq Pharmaceuticals ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FTXH#NASDAQ">FTXH</a>) derives its investment strategy from the Nasdaq US Benchmark Index, and has an expense ratio of 0.60%. Pfizer is one of its top holdings, with 7.28% of assets allocated to it.
SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>) mirrors the S&amp;P&nbsp;Biotechnology Select Industry&nbsp;Index, and charges a 0.35% expense ratio. Out of its present AUM of $6.37 billion, Moderna holds 2.58%. Almost 100% of its holdings are exposed to the biotechnology sector, with only about 0.04% invested in the pharmaceutical sector.
<h3 class="wp-block-heading">The Bird Flu Menace </h3>
The bird flu scare in humans ratcheted higher in late 2024 when a 13-year-old girl in Canada fell critically ill with H5N1 and required a ventilator. Around the same time, the U.S. reported its first severe case in an elderly patient in Louisiana.
Health experts warn that vigilance is key to preventing mutations that could trigger a pandemic. While the technology to develop vaccines quickly is available, governments may need to fund large-scale clinical trials in advance to ensure rapid distribution in case of a health emergency.
Read Next:
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<li><a href="https://www.benzinga.com/25/01/42878295/quantum-stocks-tumble-why-rigetti-ionq-and-d-wave-are-falling">Quantum Stocks Tumble: Why Rigetti, IonQ and D-Wave Are Falling</a></li>
</ul>
Photo: Shutterstock.

CVAC

FTXH

IDNA

Bird Flu Sparks Vaccine Stock Surge: ETFs To Watch As H5N1 Outbreak Intensifies

As markets brace for the Federal Reserve's final policy meeting of the year, scheduled at 2:00 p.m. Wednesday, Goldman Sachs highlighted 20 exchange-traded funds (ETFs) that have historically shown outsized <a href="https://www.benzinga.com/topic/federal-reserve">moves around Fed decision days</a>.
While a 25-basis-point rate cut to a target range of 4.25%-4.50% is widely anticipated, the market's focus is on the Fed's forward guidance, particularly the Summary of Economic Projections (SEP) and the updated &#8220;dot plot.&#8221;
Following December's expected cut, Goldman Sachs projects a more measured pace of easing next year, forecasting rate cuts in March, June, and September, with the terminal rate seen at 3.50%-3.75%.
Read Also: <a href="https://www.benzinga.com/economics/macro-economic-events/24/12/42554114/all-eyes-on-december-fed-meeting-as-traders-await-interest-rate-projections">All Eyes On December Fed Meeting As Traders Await Interest Rate Projections</a>
<h3 class="wp-block-heading">Market Dynamics Around Fed Days</h3>
U.S. equity markets have displayed strong short-term gains during Fed meeting weeks in 2024. 
Investors employing a simple strategy of buying the S&amp;P 500 index at market close before a Federal Open Market Committee (FOMC) announcement and selling at close the following day have captured median returns of 1.1% across the past seven meetings.
Yet those extending the trade horizon to 15 sessions post-Fed meeting have enjoyed significantly larger average gains of 3.29%, more than double the short-term returns. Notably, every Fed meeting this year has resulted in positive 15-day returns.
"We observe that U.S. banking ETFs, such as SPDR S&amp;P Bank ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KBE#NYSE">KBE</a>) and SPDR S&amp;P Regional Banking ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KRE#NYSE">KRE</a>), have seen unusually large moves on FOMC days since 2022" Goldman analysts wrote in a recent note.
For bond-focused investors, the report highlights consistent post-meeting gains in high-yield and investment-grade ETFs like iShares iBoxx $ High Yield Corporate Bond ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HYG#NYSE">HYG</a>) and iShares iBoxx $ Investment Grade Corporate Bond ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LQD#NYSE">LQD</a>).
Meanwhile, energy-focused ETFs, such as the United States Oil Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/USO#NYSE">USO</a>), have seen negative reactions. 
<h3 class="wp-block-heading">ETFs Showing Heightened Fed-Day Moves</h3>
Here's Goldman Sachs' list of 20 ETFs with the largest absolute moves – which include both positive and negative swing – on FOMC days:
<figure class="wp-block-table is-style-stripes"> 
<table>
<thead>
<tr>
<th>ETF Name</th>
<th>Focus</th>
<th>Average Absolute Move on FOMC since 2022</th>
<th>Average Absolute Move (Last 3 FOMC events)</th>
</tr>
</thead>
<tbody>
<tr>
<td>SPDR S&amp;P Regional Banking ETF </td>
<td>Regional Banking</td>
<td>2.5%</td>
<td>1.5%</td>
</tr>
<tr>
<td>VanEck Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SMH#NASDAQ">SMH</a>)</td>
<td>Semiconductor</td>
<td>2.4%</td>
<td>3.7%</td>
</tr>
<tr>
<td>iShares Semiconductor ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SOXX#NASDAQ">SOXX</a>)</td>
<td>Semiconductor</td>
<td>2.4%</td>
<td>3.3%</td>
</tr>
<tr>
<td>SPDR S&amp;P Bank ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KBE#NYSE">KBE</a>)</td>
<td>US Large Banks</td>
<td>2.2%</td>
<td>1.3%</td>
</tr>
<tr>
<td>SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>)</td>
<td>Biotech</td>
<td>2.0%</td>
<td>0.3%</td>
</tr>
<tr>
<td>United States Oil Fund </td>
<td>Oil</td>
<td>1.9%</td>
<td>2.0%</td>
</tr>
<tr>
<td>Technology Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLK#NYSE">XLK</a>)</td>
<td>Technology</td>
<td>1.9%</td>
<td>2.3%</td>
</tr>
<tr>
<td>iShares Silver Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SLV#NYSE">SLV</a>)</td>
<td>Silver</td>
<td>1.7%</td>
<td>2.4%</td>
</tr>
<tr>
<td>Invesco QQQ Trust (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>)</td>
<td>Nasdaq 100</td>
<td>1.7%</td>
<td>1.7%</td>
</tr>
<tr>
<td>Consumer Discretionary Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLY#NYSE">XLY</a>)</td>
<td>Discretionary</td>
<td>1.6%</td>
<td>1.0%</td>
</tr>
<tr>
<td>iShares Russell 2000 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IWM#NYSE">IWM</a>)</td>
<td>Russell 2000</td>
<td>1.5%</td>
<td>0.3%</td>
</tr>
<tr>
<td>SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>)</td>
<td>S&amp;P 500</td>
<td>1.2%</td>
<td>0.9%</td>
</tr>
<tr>
<td>Vanguard S&amp;P 500 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VOO#NYSE">VOO</a>)</td>
<td>S&amp;P 500</td>
<td>1.2%</td>
<td>0.9%</td>
</tr>
<tr>
<td>Financial Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLF#NYSE">XLF</a>)</td>
<td>Financial</td>
<td>1.1%</td>
<td>0.7%</td>
</tr>
<tr>
<td>SPDR Gold Shares (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GLD#NYSE">GLD</a>)</td>
<td>Gold</td>
<td>0.9%</td>
<td>1.4%</td>
</tr>
<tr>
<td>iShares J.P. Morgan USD Emerging Markets Bond ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/EMB#NASDAQ">EMB</a>)</td>
<td>EM Bond</td>
<td>0.8%</td>
<td>0.6%</td>
</tr>
<tr>
<td>iShares iBoxx $ High Yield Corporate Bond ETF </td>
<td>HY Corp Bond</td>
<td>0.6%</td>
<td>0.3%</td>
</tr>
<tr>
<td>iShares iBoxx $ Investment Grade Corporate Bond ETF </td>
<td>IG Corp Bond</td>
<td>0.6%</td>
<td>0.7%</td>
</tr>
<tr>
<td>iShares 7-10 Year Treasury Bond ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/IEF#NASDAQ">IEF</a>)</td>
<td>7-10 Year Treasury</td>
<td>0.6%</td>
<td>0.7%</td>
</tr>
<tr>
<td>iShares TIPS Bond ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TIP#NYSE">TIP</a>)</td>
<td>TIPS Bond</td>
<td>0.5%</td>
<td>0.4%</td>
</tr>
<tr>
<td>Average</td>
<td></td>
<td>1.5%</td>
<td>1.3%</td>
</tr>
</tbody>
</table>
</figure>
Check Out: 
<ul>
<li><a href="https://www.benzinga.com/economics/macro-economic-events/24/12/42539116/fed-meetings-made-stock-traders-richer-in-2024-could-wednesday-bring-last-big-rally">Fed Meetings Made Stock Traders Richer In 2024: Could Wednesday Bring Last Big Rally?</a></li>
</ul>
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JOET

Live On CNBC, Joe Terranova Announces Sold SPDR Series Trust SPDR S&P Biotech ETF

To gain an edge, this is what you need to know today.
<figure class="wp-block-image size-large is-resized"><img decoding="async" src="https://thearorareport.com/wp-content/uploads/2024/11/2024-11-18_08h07_41-scaled.jpg" alt="" style="width:624px" /></figure>
<h3 class="wp-block-heading">The Trump Trade</h3>
Please <a href="https://thearorareport.com/chart-analysis-stock-trump-tesla-dogecoin-xbi-mc-11182024">click here</a> for an enlarged chart comparing SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>) to Dogecoin to United States Dollar (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/doge/usd">DOGE</a>).
Note the following:
<ul>
<li>The chart shows that biotech XBI has lost 5.35% since Trump's election.&nbsp; Companies in this ETF are producing innovative life saving drugs, employ brilliant scientists, own significant intellectual property, and are often bought out at large premiums.</li>
<li>The chart shows that Dogecoin has gained 48.78% since Trump's election.&nbsp; Dogecoin was initially developed as a joke.&nbsp; At one time, it was endorsed by Elon Musk; its name is the same as the acronym of Trump's Department of Government Efficiency.&nbsp; The main use of Dogecoin is speculation by the meme crowd.&nbsp; Dogecoin has an active meme crowd community behind it.</li>
<li>The contrast between the performance of XBI and Dogecoin shown on the chart is emblematic of, in large part, what investors are buying and selling in the wake of Trump's re-election.</li>
<li>On top of investors rushing into speculative assets, sentiment is extremely positive.&nbsp; Historically, extremely positive sentiment is a contrary indicator.&nbsp; In plain English, it means sell.&nbsp; As we have previously stated, sentiment is not a precise timing indicator.</li>
<li>In spite of all the warning signals, The Arora Report call remains to buy the dips.&nbsp; There are two main reasons:
<ul>
<li>There is an old saying on Wall Street that no one has ever been fired for losing clients' money.&nbsp; However, money managers get fired for lagging far behind their benchmarks.&nbsp; No money manager, irrespective of his/her view of the market, wants to commit career suicide by not chasing the market at the year end. Bearish money managers who have missed out on this rally are likely to buy the dips and chase the stock market into the year end.</li>
<li>Right now, hopium is at an extreme.&nbsp; There is nothing in the way of hopium.&nbsp; Since Trump is not yet president, there is no reality to confront hopium.&nbsp; Right now, the momo crowd is buying based on the best case of all of the positives that may come out of Trump's policies, and they are ignoring all of the negatives.</li>
</ul>
</li>
<li>The plan is to start taking profits on new buys before hopium meets reality between Christmas and Trump's inauguration.&nbsp;</li>
<li>As a note of caution, this is not a call for wholesale buying.&nbsp; This is a call to buy on the margin based on the protection band.&nbsp;&nbsp;</li>
<li>Trump's transition team is starting the work to help those who helped Trump get elected.&nbsp; An example is the Trump team wanting to change the rules around self-driving cars in the U.S. to help Tesla Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>).&nbsp; Musk has been a big supporter of Trump.&nbsp; Over a period of time, expect many such moves from Trump's team.&nbsp; As a full disclosure, The Arora Report gave a signal to buy TSLA after Trump's win.&nbsp; The trade has been nicely profitable.&nbsp; The system has also triggered a signal for a trade around position in TSLA, but publication of the signal may be delayed because TSLA stock has gapped up significantly.</li>
<li>Trump has appointed Chris Wright as the next Department of Energy Secretary.&nbsp; Wright is the CEO of Liberty Energy Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LBRT#NYSE">LBRT</a>).&nbsp; Liberty Energy is engaged in fracking. Wright is also on the board of smart modular reactor company Oklo Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/OKLO#NYSE">OKLO</a>) that is backed by OpenAI founder Sam Altman.&nbsp; Money is flowing into gas and nuclear stocks on Wright's appointment.</li>
<li>The most important event for the market this week is NVIDIA Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) earnings that will be released on Wednesday after the close.&nbsp; This morning, NVDA is seeing aggressive selling because of a report of Blackwell chips heating up in data centers.</li>
<li>In the early trade, retail investors are aggressively buying Trump stocks based on the weekend pump.&nbsp; Professional investors are front running retail investors as they hope to sell at higher prices to retail investors later.</li>
</ul>
<h3 class="wp-block-heading">Magnificent Seven Money Flows</h3>
In the early trade, money flows are positive in Amazon.com, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>), Alphabet Inc Class C (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOG#NASDAQ">GOOG</a>), TSLA, and Apple Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>).
In the early trade, money flows are neutral in Meta Platforms Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>) and Microsoft Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>).
In the early trade, money flows are negative in NVDA.
In the early trade, money flows are positive in SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) and Invesco QQQ Trust Series 1 (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>).
<h3 class="wp-block-heading">Momo Crowd And Smart Money In Stocks</h3>
Investors can gain an edge by knowing money flows in SPY and QQQ.&nbsp; Investors can get a bigger edge by knowing when smart money is buying stocks, gold, and oil.&nbsp; The most popular ETF for gold is SPDR Gold Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GLD#NYSE">GLD</a>).&nbsp; The most popular ETF for silver is iShares Silver Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SLV#NYSE">SLV</a>).&nbsp; The most popular ETF for oil is United States Oil ETF (ASCA:USO).
<h3 class="wp-block-heading">Bitcoin</h3>
Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>) is range bound.
<h3 class="wp-block-heading">Protection Band And What To Do Now</h3>
It is important for investors to look ahead and not in the rearview mirror.&nbsp; The proprietary protection band from The Arora Report is very popular.&nbsp; The protection band puts all of the data, all of the indicators, all of the news, all of the crosscurrents, all of the models, and all of the analysis in an analytical framework that is easily actionable by investors.
Consider continuing to hold good, very long term, existing positions. Based on individual risk preference, consider a protection band consisting of cash or Treasury bills or short-term tactical trades as well as short to medium term hedges and short term hedges. This is a good way to protect yourself and participate in the upside at the same time.
You can determine your protection bands by adding cash to hedges.&nbsp; The high band of the protection is appropriate for those who are older or conservative. The low band of the protection is appropriate for those who are younger or aggressive.&nbsp; If you do not hedge, the total cash level should be more than stated above but significantly less than cash plus hedges.
A protection band of 0% would be very bullish and would indicate full investment with 0% in cash.&nbsp; A protection band of 100% would be very bearish and would indicate a need for aggressive protection with cash and hedges or aggressive short selling.
It is worth reminding that you cannot take advantage of new upcoming opportunities if you are not holding enough cash.&nbsp; When adjusting hedge levels, consider adjusting partial stop quantities for stock positions (non ETF); consider using wider stops on remaining quantities and also allowing more room for high beta stocks.&nbsp; High beta stocks are the ones that move more than the market.
<h3 class="wp-block-heading">Traditional 60/40 Portfolio</h3>
Probability based risk reward adjusted for inflation does not favor long duration strategic bond allocation at this time.
Those who want to stick to traditional 60% allocation to stocks and 40% to bonds may consider focusing on only high quality bonds and bonds of five year duration or less.&nbsp; Those willing to bring sophistication to their investing may consider using bond ETFs as tactical positions and not strategic positions at this time.
The Arora Report is known for its accurate calls. The Arora Report correctly called the big artificial intelligence rally before anyone else, the new bull market of 2023, the bear market of 2022, new stock market highs right after the virus low in 2020, the virus drop in 2020, the DJIA rally to 30,000 when it was trading at 16,000, the start of a mega bull market in 2009, and the financial crash of 2008. Please click here to sign up for a free forever <a href="https://thearorareport.com/generate-wealth-newsletter-benzinga">Generate Wealth Newsletter</a>.

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A Must See Chart For Prudent Investors, Trump To Help Tesla Dominate, Nvidia Heat Problem

On CNBC, Joe Terranova Announces Sold SPDR Series Trust SPDR S&P Biotech ETF

Designed to provide broad exposure to the Healthcare - Biotech segment of the equity market, the iShares Biotechnology ETF (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/ibb#NASDAQ">IBB</a>) is a passively managed exchange traded fund launched on 02/05/2001.
Passively managed ETFs are becoming increasingly popular with institutional as well as retail investors due to their low cost, transparency, flexibility and tax efficiency. They are excellent vehicles for long term investors.
Additionally, sector ETFs offer convenient ways to gain low risk and diversified exposure to a broad group of companies in particular sectors. Healthcare - Biotech is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 4, placing it in top 25%.
<h2>Index Details</h2>
The fund is sponsored by Blackrock. It has amassed assets over $7.92 billion, making it one of the largest ETFs attempting to match the performance of the Healthcare - Biotech segment of the equity market. IBB seeks to match the performance of the Nasdaq Biotechnology Index before fees and expenses.
The ICE Biotechnology Index contains securities of NASDAQ listed companies that are classified as either biotechnology or pharmaceuticals.
<h2>Costs</h2>
Expense ratios are an important factor in the return of an ETF and in the long term, cheaper funds can significantly outperform their more expensive counterparts, other things remaining the same.
Annual operating expenses for this ETF are 0.45%, making it on par with most peer products in the space.
It has a 12-month trailing dividend yield of 0.27%.
<h2>Sector Exposure and Top Holdings</h2>
While ETFs offer diversified exposure, which minimizes single stock risk, a deep look into a fund&#39;s holdings is a valuable exercise. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation in the Healthcare sector--about 100% of the portfolio.
Looking at individual holdings, Vertex Pharmaceuticals Inc&nbsp;(NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/vrtx#NASDAQ">VRTX</a>) accounts for about 9.31% of total assets, followed by Amgen Inc&nbsp;(NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/amgn#NASDAQ">AMGN</a>) and Regeneron Pharmaceuticals Inc&nbsp;(NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/regn#NASDAQ">REGN</a>).
The top 10 holdings account for about 53.07% of total assets under management.
<h2>Performance and Risk</h2>
The ETF has gained about 8.95% and was up about 14.19% so far this year and in the past one year (as of 07/31/2024), respectively. IBB has traded between $112.41 and $148.26 during this last 52-week period.
The ETF has a beta of 0.74 and standard deviation of 22.11% for the trailing three-year period, making it a high risk choice in the space. With about 221 holdings, it effectively diversifies company-specific risk.
<h2>Alternatives</h2>
IShares Biotechnology ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, IBB is an excellent option for investors seeking exposure to the Health Care ETFs segment of the market. There are other additional ETFs in the space that investors could consider as well.
First Trust NYSE Arca Biotechnology ETF (ARCA:FBT) tracks NYSE Arca Biotechnology Index and the SPDR S&amp;P Biotech ETF (ARCA:XBI) tracks S&amp;P Biotechnology Select Industry Index. First Trust NYSE Arca Biotechnology ETF has $1.16 billion in assets, SPDR S&amp;P Biotech ETF has $7.77 billion. FBT has an expense ratio of 0.56% and XBI charges 0.35%.
<a href="https://www.zacks.com/stock/news/2312595/should-you-invest-in-the-ishares-biotechnology-etf-ibb?cid=CS-BENZ-FT-sector_etf-2312595">To read this article on Zacks.com click here.</a>

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Should You Invest in the iShares Biotechnology ETF?

CNBC Halftime Report Final Trades: Amazon.com, Truist Financial, SPDR Series Trust SPDR S&P Biotech ETF

June closed on a high note for the stock market, with the S&amp;P 500, tracked by the SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>), gaining 3.2%, despite significant disparities in <a href="https://www.benzinga.com/etfs">sector and industry performances.</a>
The technology sector, as tracked by the Technology Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLK#NYSE">XLK</a>), led the 11 S&amp;P 500 sectors in performance last month, surging 7.7% and achieving its strongest monthly gain this year. 
In stark contrast, utilities lagged, with the Utilities Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLU#NYSE">XLU</a>) dropping 6.3%, marking the worst month since September 2023.
<h3 class="wp-block-heading">Top Performing Industry ETFs In June</h3>
The iShares Expanded Tech-Software Sector ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IGV#NYSE">IGV</a>) rallied 11.3% last month, topping the rankings among industry ETFs. 
Hot on its heels was the VanEck Semiconductor ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SMH#NYSE">SMH</a>), which climbed 8.4%, showcasing strong momentum in the semiconductor sector. 
Since hitting its low in October 2023, the VanEck Semiconductor ETF has rallied by an astounding 87%, and over 200% since October 2022, reflecting the spectacular growth in AI-driven stocks.
Securing the third spot in terms of monthly performance, the SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>) gained 4%. 
Within the software sector, standout performers included Adobe Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ADBE#NASDAQ">ADBE</a>), which surged by 24.9%, CrowdStrike Holdings, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CRWD#NASDAQ">CRWD</a>) with a 22.1% increase, and Oracle Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ORCL#NYSE">ORCL</a>), up by 20%.
Broadcom Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVGO#NASDAQ">AVGO</a>) led chipmakers with a 21% rise. Universal Display Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/OLED#NYSE">OLED</a>) followed closely with a 19.7% increase, and Qorvo, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QRVO#NASDAQ">QRVO</a>) posted an 18% gain. 
Among chipmakers, Broadcom Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVGO#NASDAQ">AVGO</a>), Universal Display Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/OLED#NYSE">OLED</a>) and Qorvo, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QRVO#NASDAQ">QRVO</a>) led gains, with performances of 21%, 19.7% and 18%, respectively.
In the biotech arena, Scilex Holding Company (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SCLX#NASDAQ">SCLX</a>) experienced a 78.8% spike, making it the top industry gainer. Alnylam Pharmaceuticals, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ALNY#NASDAQ">ALNY</a>) surged by 63.7%, while Avidity Biosciences, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/RNA#NASDAQ">RNA</a>) saw a robust 52% increase.
<h3 class="wp-block-heading">Top Performing Industry ETFs By Inflows In June</h3>
Examining fund flows, the VanEck Semiconductor ETF has emerged as a top choice for investors, attracting over $1 billion according to Tradingview data, and achieving its ninth consecutive month of inflows. Year-to-date the fund has registered $4.60 billion in net inflows.
The iShares Expanded Tech-Software Sector ETF pulled in approximately $480 million in June, breaking a six-month streak of outflows and registering its highest monthly inflows since September 2022. Yet, its year-to-date net flows are still negative, down by $1.15 billion. 
The iShares Biotechnology ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IBB#NYSE">IBB</a>) collected $148 million in inflows last month, reflecting strong investor interest. Another industry witnessing robust inflows was represented by the Global X Copper Miners ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/COPX#NYSE">COPX</a>), which attracted about $130 million.
Read Next:
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<li><a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/07/39577080/manufacturing-contracts-more-than-expected-in-june-putting-pressure-on-profitabilit">Manufacturing Contracts More Than Expected In June, &#8216;Putting Pressure On Profitability&#8217;: Yields Rise, Stocks Fall</a></li>
</ul>
Photo: Shutterstock

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Top Performing Industry ETFs In June: Software Leads Returns, Chipmakers Attract Most Inflows

Biotech stocks are high-risk, high-return opportunities that are under the mercy of several <a href="https://www.benzinga.com/trading-ideas/short-ideas/14/03/4375961/binary-events-and-volatility">make-or-break catalysts, most of which are binary events.</a> It pays to remain cognizant of the timing of these catalysts and which way they will likely pan out. 
Benzinga brings to investors a weekly feature focusing on five key catalysts that could impact the stock prices of the respective companies in an appreciable manner.
1. Arrowhead Pharmaceuticals, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ARWR#NASDAQ">ARWR</a>)
<ul>
<li>Date: Tuesday, June 25</li>
<li>Catalyst: Discussion of Phase 3 PALISADE study of investigational plozasiran in patients with genetically confirmed or clinically diagnosed familial chylomicronemia syndrome </li>
</ul>
On June 3, the company released Phase 3 topline results, which showed the study met the primary endpoint, and key secondary endpoints and demonstrated statistical significance versus placebo. The stock rose over 7% on the day. The company is scheduled to discuss the data at the Cardiometabolic event on Tuesday as part of its 2024 Summer Series of R&amp;D Webinars.
The company expects to file an NDA for plozasiran in FCS around year-end, with a potential launch in 2025.
Arrowhead ended Friday&#8217;s session up 7.19% at $25.50, according to Benzinga Pro data. Chardan has a Buy rating on Arrowhead and a $60 price target: &#8220;We expect 2024 to be a data rich year for Arrowhead,&#8221; said Chardan analyst Keay Nakae in a June 3 note.
&#8220;We believe that at the current price, the balance of risk/reward is highly favorable for the stock going forward,&#8221; he said.
2. Intellia Therapeutics, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NTLA#NASDAQ">NTLA</a>)
<ul>
<li>Date: Tuesday, June 25</li>
<li>Catalyst: redosing data from the Phase 1 study of NTLA-2001, which is based on CRISPR/Cas9 gene-editing technology, </li>
</ul>
The data, which is to be presented at the &nbsp;Peripheral Nerve Society&nbsp;Annual Meeting being held in Montreal, Canada, will offer insight into the safety and pharmacodynamics of redosing patients. NTLA-2001 is being evaluated for Transthyretin amyloidosis, or ATTR amyloidosis, a rare, progressive and fatal disease.&nbsp;Interim Phase 1 clinical data showed the administration of NTLA-2001 led to consistent, deep and long-lasting TTR reduction. The gene-editing candidate is being jointly developed with Regeneron Pharmaceuticals, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/REGN#NASDAQ">REGN</a>).
The stock added 0.74% on Friday before closing at $24.22.
See Also: <a href="https://www.benzinga.com/money/best-biotech-stocks">Best Biotech Stocks</a>
3. Merck &amp; Co., Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MRK#NYSE">MRK</a>)
<ul>
<li>Date: Wednesday, June 26</li>
<li>Catalyst: PDUFA date for antibody-drug conjugate patritumab deruxtecan as a treatment option for a certain type of non-small cell lung cancer.</li>
</ul>
The ADC candidate is being tested in patients with locally advanced or metastatic EGFR-mutated non-small cell lung cancer (NSCLC) previously treated with two or more systemic therapies.
Lung cancer is the second most common cancer and the leading cause of cancer-related deaths worldwide, with non-small cell lung cancers accounting for approximately 85% of all lung cancers. EGFR mutations occur in 14%-38% of all NSCLC tumors worldwide.
<a href="https://www.benzinga.com/general/biotech/23/10/35349800/merck-signs-multi-billion-deal-with-japans-daiichi-sankyo-for-cancer-therapy-drug-development">Patritumab deruxtecan is one of the three drugs Merck acquired</a> from Japan&#8217;s Daiichi Sankyo Company, Limited (OTC:<a class="ticker" href="https://www.benzinga.com/stock/DSKYF#OTC">DSKYF</a>) last year.
Merck settled Friday&#8217;s session 0.81% higher at $130.72.
4. Verona Pharma plc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/VRNA#NASDAQ">VRNA</a>)
<ul>
<li>Date: Wednesday, June 26</li>
<li>Catalyst: PDUFA date for ensifentrine that is being evaluated as maintenance treatment of patients with Chronic obstructive pulmonary disease&nbsp;</li>
</ul>
Raleigh, North Carolina-based Verona Pharma is a clinical-stage biopharma working on therapies for respiratory diseases. If ensifentrine gets the nod, it has the potential to become the first inhaled non-steroidal therapy for the treatment of respiratory diseases that combines bronchodilator and anti-inflammatory activities in one molecule, the company said. It is prepping for the commercial launch of ensifentrine in the third quarter.
Verona added 2.11% on Friday and ended at $15.
5. X4 Pharmaceuticals, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/XFOR#NASDAQ">XFOR</a>)
<ul>
<li>Date: Thursday, June 27 (8 a.m. EDT)</li>
<li>Catalyst: new interim Phase 2 data for mavorixafor in severe congenital neutropenia, which results from very low levels of neutrophils &#8211; a type of white blood cells that are used to treat several infections, especially bacterial.</li>
</ul>
The data will be presented at a virtual investor event hosted by the company. X4 Pharma rallied over 5% to $1.01.
The SPDR&nbsp;S&amp;P&nbsp;Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>), an exchange-traded fund that tracks the S&amp;P Biotechnology Select Industry Index, ended Friday at $92.38, up 2.77%. For the year, the EFF has gained 3.46%, underperforming the broader S&amp;P 500 Index.
Read Next: <a href="https://www.benzinga.com/general/biotech/24/06/39430498/fda-approves-expanded-use-for-sareptas-rare-muscular-dystrophy-gene-therapy">FDA Approves Expanded Use For Sarepta&#8217;s Rare Muscular Dystrophy Gene Therapy</a>
Image Via Shutterstock

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5 Biotech Stocks With Key Catalysts This Week: Merck, Intellia, Verona, And More

A cooler-than-expected U.S. inflation report fueled a rally on Wall Street, ahead of the highly anticipated Federal Open Market Committee (FOMC) <a href="https://www.benzinga.com/markets/equities/24/06/39289912/us-inflation-eases-more-than-expected-in-may-boosts-2024-rate-cut-prospects-ahead-of-wednesdays-">meeting at 2:00 p.m. Wednesday.</a>
What happened: Inflation slowed to 3.3% annually in May, below both the expected and previous rate of 3.4%. On a monthly basis, the Consumer Price Index (CPI) remained flat, below the anticipated 0.1% increase and a significant drop from April&#8217;s 0.3% rise.
Additionally, the core measure of inflation, which excludes energy and food, weakened more than predicted. Annually, core inflation slowed from 3.6% to 3.4%, falling short of the 3.5% expectation.
Why it matters: Lower-than-expected inflation data is bolstering hopes for a steady return to the Federal Reserve&#8217;s 2% target and raising expectations for interest rate cuts later this year.
Markets are now assigning a probability of over 70% for a September rate cut, up from 54% before the inflation report. Notably, Fed futures now indicate 55 basis points of rate cuts priced in by the end of the year, implying two rate cuts.
Prospects of a declining cost of borrowing are aiding interest-rate sensitive sectors and stocks, which had lagged in recent weeks due to fears of prolonged higher rates.
Market reactions: Small caps, as tracked by the iShares Russell 2000 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IWM#NYSE">IWM</a>), were the brightest spot in the market, opening 2.9% higher and on track for the best-performing day year to date.
Chart: Small Caps Eye Best Day Since Mid-December 2023
<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="500" src="https://editorial-assets.benzinga.com/wp-content/uploads/2024/06/12094652/image-30-1024x500.png" alt="" class="wp-image-384572" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2024/06/12094652/image-30-1024x500.png 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/06/12094652/image-30-300x147.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/06/12094652/image-30-768x375.png 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/06/12094652/image-30-1536x750.png 1536w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/06/12094652/image-30.png 1920w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>
In comparison, large-cap indices such as the S&amp;P 500, the Nasdaq 100, and the Dow Jones Industrial Average were all about 0.9% higher.
Sector-wise, real estate and materials were the best performers, with the Vanguard Real Estate ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VNQ#NYSE">VNQ</a>) and the Materials Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLB#NYSE">XLB</a>) up 2.2% and 1.6%, respectively.
Industry-wise, homebuilders, regional banks, solar, and biotech stocks were the top performers, showing notable increases.
<ul>
<li>SPDR S&amp;P Homebuilders ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XHB#NYSE">XHB</a>) up 4%</li>
<li>Invesco Solar ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TAN#NYSE">TAN</a>) 3.9%</li>
<li>SPDR S&amp;P Regional Banking ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KRE#NYSE">KRE</a>) up 3.3%</li>
<li>SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>) up 2.3%</li>
</ul>
According to <a href="https://pro.benzinga.com/dashboard">Benzinga pro</a> data the top-performing stocks (with at least $1 billion of market cap) in the hour following the U.S. inflation report were: 
<ol>
<li>Sunrun Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/RUN#NASDAQ">RUN</a>): 7.87%</li>
<li>Array Technologies Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ARRY#NASDAQ">ARRY</a>): 7.65%</li>
<li>Opendoor Technologies Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/OPEN#NASDAQ">OPEN</a>): 7.44%</li>
<li>Element Solutions Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ESI#NYSE">ESI</a>): 6.78%</li>
<li>TeraWulf Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/WULF#NASDAQ">WULF</a>): 6.68%</li>
<li>Iamgold Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IAG#NYSE">IAG</a>): 6.55%</li>
<li>Globus Medical Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GMED#NYSE">GMED</a>): 6.04%</li>
<li>Dyne Therapeutics Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/DYN#NASDAQ">DYN</a>): 5.99%</li>
<li>Enphase Energy Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ENPH#NASDAQ">ENPH</a>): 5.93%</li>
<li>Upstart Holdings Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/UPST#NASDAQ">UPST</a>): 5.75%</li>
</ol>
Looking ahead, traders are now eagerly anticipating the Federal Open Market Committee (FOMC) meeting. The statement and new macroeconomic projections will be released at 2:00 p.m. ET, followed by Fed Chair Powell's press conference at 2:30 p.m. ET.
<figure class="wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio"> 
<div class="wp-block-embed__wrapper">
<iframe loading="lazy" title="&#x1f534;WATCH LIVE: Jerome Powell Speaks, FOMC Press Conference &#x7C; June 12th, 2024" width="500" height="281" src="https://www.youtube.com/embed/dt2EqXr84ks?feature=oembed" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen></iframe>
</div>
</figure>
Read now: <a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/06/39252500/fed-meeting-preview-economists-predict-steady-rates-in-june-fewer-cuts-ahead">Fed Meeting Preview: Economists Predict Steady Rates In June, Fewer Cuts Ahead</a>
Photo: Shutterstock

Macro Notification

Mid Cap

REIT

Small Cap

Real Estate

ARRY

ENPH

GMED

OPEN

UPST

WULF

Soft Inflation Data Boosts Small Caps, Real Estate, Regional Banks; Traders Anticipate Fed Rate Cuts As Stocks React

American Express Company (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AXP#NYSE">AXP</a>) has &#8220;above market growth for below market multiple,&#8221; Amy Raskin of Chevy Chase Trust said on CNBC's &#8220;<a href="https://www.cnbc.com/video/2024/06/03/final-trades-2-year-treasury-trade-desk-american-express-and-the-xbi.html">Halftime Report Final Trades</a>.&#8221; 
On May 7, American Express recently declared a dividend on Series D Preferred Stock and regular quarterly dividend.
On April 19, the New York-based company's first-quarter revenue (net of interest expense) grew 11% year-on-year to $15.80 billion, marginally beating the consensus of $15.79 billion. EPS of $3.33 <a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/04/38359975/american-express-q1-wins-keep-analysts-steady-in-their-views">beat the consensus of $2.95</a>.
Stephen Weiss of Short Hills Capital Partners named U.S. 2 Year Treasury, saying it's just time <a href="https://www.benzinga.com/topic/treasury-yields">not to take bets</a>.
Don't forget to check out our <a href="https://www.benzinga.com/premarket/">premarket coverage here</a>
Brian Belski of BMO Capital Markets picked The Trade Desk, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TTD#NASDAQ">TTD</a>), saying "online and audio advertising, it&#8217;s a new position for us."
On May 8, Trade Desk posted better-than-expected first-quarter financial results. The company reported quarterly earnings of 26 cents per share which beat the analyst consensus estimate of 21 cents by 23.81%. Quarterly sales came in at $491.25 million which beat the analyst consensus estimate of $480.31 million.
Joe Terranova of Virtus Investment Partners named SPDR S&amp;P Biotech ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XBI#NYSE">XBI</a>) as his final trade.
Price Action:
<ul>
<li>Trade Desk shares rose 0.4% to close at $93.11 on Monday.</li>
<li>American Express shares fell 1.3% to close at $ 236.88 during Monday's session.</li>
<li>SPDR S&amp;P Biotech ETF gained 2.6% during Monday's session.</li>
</ul>
Check This Out: <a href="https://www.benzinga.com/news/24/06/39135431/top-3-utilities-stocks-that-may-plunge-in-q2">Top 3 Utilities Stocks That May Plunge In Q2</a>
Image: Shutterstock

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