Evolving Times | Weekly Newsletter
The market selloff continues as the Nasdaq 100 enters correction territory, having fallen over 10% from its July peak. Earnings reports from Apple, Microsoft, Meta, and Amazon were highly anticipated, yet Amazon's results failed to impress investors. Despite this, approximately 78% of S&P 500 companies have beat earnings expectations, slightly above-average historical averages.
The Federal Reserve held rates steady for the eighth straight session, aligning with predictions, and officials noted inflation is nearing the 2% target. However, Friday's US jobs data revealed an unexpected spike in unemployment, alarming investors. Concerns are mounting that the Fed may have delayed rate cuts for too long, heightening fears of a hard landing for the economy.
We want you to stay in tune with the movements in the markets, so we have carefully selected these articles for you. As always, we hope you enjoy and welcome your feedback.
An anniversary worth celebrating: QQQT is Canada’s best performing technology ETF over the past 1 year.
Evolve NASDAQ Technology Index Fund?(Ticker: QQQT)
The Nasdaq-100? comprises some of the world’s largest and most successful non-financial businesses listed on the Nasdaq exchange. “There’s a massive misconception that the Nasdaq-100 is all technology”, says Raj Lala, President and CEO of Evolve ETFs. “At least 80-85% of the people I speak to do not know that only 41 companies would be categorized as tech. They don’t know that Pepsi, Marriott, Lululemon are part of the index.”
Evolve FANGMA Index ETF: Q2 earnings roundup.
Evolve FANGMA Index ETF?(Ticker: TECH)
In their recent earnings, big tech companies have demonstrated robust performance, showcasing strong financial health and significant growth across various segments. Common themes include the acceleration of AI and cloud services, increased user engagement, and substantial investment in infrastructure. Major tech companies reported impressive year-over-year revenue increases, with many surpassing analyst estimates. All of the FANGMA giants reported higher-than-expected earnings per share (EPS).
Bitcoin Insights – June 2024.?
Evolve Bitcoin ETF?(Ticker: EBIT)
Summertime is never dull for Bitcoin, and July was no exception. The price rollercoaster took its toll on those who tried to time the market or lacked conviction.?Just as Bitcoin is for everyone, and adding Bitcoin to any portfolio will, over the long term, improve its risk-adjusted return, it is also the case that adding Bitcoin to a nation’s reserve will, over time, generate prosperity.
One third of Canadians use AI to manage finances: BMO.?
Evolve Artificial Intelligence Fund?(Ticker: ARTI)
New data suggests that rising numbers of Canadians are using artificial intelligence (AI) to manage their finances. According to BMO’s Real Financial Progress Index report released Monday, up to 33 per cent of Canadians lean on AI to learn about personal finance topics, establish household budgets, identify investment strategies and update their financial plans.
The U.S. Federal Reserve sees cooler inflation, suggesting a rate cut is nearing.
Evolve S&P 500? Enhanced Yield Fund?(Ticker: ESPX)
The Federal Reserve said Wednesday that greater progress has been made in reducing inflation to its 2% target, a sign that the central bank is moving closer toward cutting its key interest rate for the first time in four years. In a statement issued after it concluded its two-day meeting, the Fed also said that “job gains have moderated” and acknowledged that the unemployment rate has risen.?
10-year Treasury yield dives to the lowest since December after weak jobs report.?
Evolve Enhanced Yield Bond Fund?(Ticker: BOND)
U.S. Treasury yields slid after a weaker-than-expected jobs report for last month added to fears that economic growth is slowing.?Markets are now pricing in a 58.5% likelihood of a half-percentage-point rate cut in September, up from only a 22% chance one day ago, according to the CME FedWatch Tool.
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About Evolve ETFs
With $7 billion in assets under management, Evolve is one of Canada’s fastest growing ETF providers since launching its first ETF in September 2017. Evolve specializes in bringing innovative ETFs to Canadian investors. Evolve’s suite of ETFs provide investors with access to: (i) index-based income strategies; (ii) long term investment themes; and (iii) some of the world’s leading investment managers. Established by a team of industry veterans with a proven track record of success, Evolve creates investment products that make a difference. Learn more at?www.evolveetfs.com
Disclaimer
The contents of this newsletter are not to be used or construed as investment advice or as an endorsement or recommendation of any entity or security whatsoever. The opinions in these articles are those of the author and the publication and do not necessarily represent the opinions of Evolve Funds Group Inc., its partners, service providers, employees or associates.? ?
Commissions, trailing commissions, management fees and expenses all may be associated with exchange traded funds (ETFs) and mutual funds. Please read the prospectus before investing. There are risks involved with investing in ETFs and mutual funds. Please read the prospectus for a complete description of risks relevant to the ETF and mutual fund. Investors may incur customary brokerage commissions in buying or selling ETF and mutual fund units. Investors should monitor their holdings, as frequently as daily, to ensure that they remain consistent with their investment strategies.? Certain statements contained in this publication may constitute forward-looking information within the meaning of Canadian securities laws. Forward-looking information may relate to a future outlook and anticipated distributions, events or results and may include statements regarding future financial performance. In some cases, forward-looking information can be identified by terms such as “may”, “will”, “should”, “expect”, “anticipate”, “believe”, “intend” or other similar expressions concerning matters that are not historical facts. Actual results may vary from such forward-looking information. Evolve undertakes no obligation to update publicly or otherwise revise any forward-looking statement whether as a result of new information, future events or other such factors which affect this information, except as required by law.
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