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Consumer Discretionary and Large Cap: 2 ETFs to Watch on Outsized Volume

In the last trading session, the U.S. stocks saw a wild ride due to the sell-off in the consumer sector. Among the top ETFs, investors saw SPY lose 0.9%, DIA shed 1.1% and QQQ move lower by 0.9% 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 for 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:

RCD: Volume 3.74 times average

This consumer discretionary ETF was in focus yesterday as around 44,000 shares moved hands compared with an average of roughly 12,000 shares a day. We also saw some price movement as RCD lost nearly 2.4% in the last session.

The big move was largely the result of weak earnings from The Walt Disney Co. (DIS), Macy’s (M) and Fossil Group (FOSL) that has stoked worries over consumer spending, the major engine of economic growth. This can have a big impact on consumer stocks like what we find in this ETF portfolio. In the past one-month period, RCD was down 1.6% and has a Zacks ETF Rank of 3 or ‘Hold’ rating with a Medium risk outlook.

VONV: Volume 3.79 times average

This large cap value ETF was under the microscope yesterday as around 123,000 shares moved hands. This compares with an average trading day of around 34,000 shares and came as VONV shed 0.6% in the session.

The movement can largely be blamed on investors’ fleeing to bargain products after the market sell-off. VONV was up 2.6% in the past one month and has a Zacks ETF Rank of 2 or ‘Buy’ rating with a Medium risk outlook.

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GUGG-SP5 EW C D (RCD): ETF Research Reports
 
VANGD-RUS 1000V (VONV): ETF Research Reports
 
SPDR-SP 500 TR (SPY): ETF Research Reports
 
SPDR-DJ IND AVG (DIA): ETF Research Reports
 
NASDAQ-100 SHRS (QQQ): ETF Research Reports
 
DISNEY WALT (DIS): Free Stock Analysis Report
 
MACYS INC (M): Free Stock Analysis Report
 
FOSSIL GRP INC (FOSL): Free Stock Analysis Report
 
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