2 ETFs to Watch for Outsized Volume on Small-Cap and Materials

In the last trading session, Wall Street posted losses as hotter-than-expected inflation raised bets over more aggressive rate hikes by the Fed. Among the top ETFs, SPY lost 0.5%, DIA shed 0.7% and QQQ moved 0.2% lower 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 ones to watch out for in the days ahead to see if this trend of extra-interest continues.

SCHA: Volume 4.77 Times Average

This small-cap ETF was in the spotlight as around 10 million shares moved hands compared with an average of 2.2 million shares a day. We also saw some price movement as SCHA lost 0.1% in the last session.

The move was largely the result of investors’ bargain hunting that could have a significant impact on the small-cap ETFs like the ones we find in this ETF portfolio. SCHA has shed 4.4% over the past month and has a Zacks ETF Rank #3 (Hold) with a Medium risk outlook.

VAW: Volume 4.14 Times Average

This materials ETF was under the microscope as nearly 850,000 shares moved hands. This compares with an average trading volume of roughly 216,000 shares and came as VAW lost 0.3% in the last trading session.

The movement can largely be blamed on skyrocketing inflation, which would provide a boost to the material companies. VAW is down 10.8% in a month’s time and carries a Zacks ETF Rank #2 (Buy) with a Medium risk outlook.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.