SGOV Stock Recent News

Here are some of the top funds that investors can purchase now to get involved in the short-term U.S. treasury market.

Roundhill Weekly T-Bill ETF offers weekly income from 13-week T-bills, but charges a high 0.19% fee, making WEEK less cost-effective. iShares® 0-3 Month Treasury Bond ETF provides similar ultra-short Treasury exposure with a lower fee and monthly payouts, tracking an index passively. For investors who can look past the extremely short history for a weekly payout, the WEEK ETF gets a Buy rating. For others, I stick with the SGOV ETF.

Investors are increasingly betting on higher long-term U.S. Treasury yields, due to growing concerns over the nation's rising debt and widening fiscal deficits.

Reaffirming my strong buy rating on SGOV, emphasizing its value during recent market volatility. We are likely to see more volatility moving forward. The Fed is in "wait and see" mode, and is now likely to hold rates steady through the Summer. This is a blessing for SGOV investors. A downgrade on US credit from Moody's is making its rounds through the news, but I believe it's mostly noise.

A rise in yields is likely to benefit a few corners of the market. Investors seeking to capitalize on the opportune moment should consider these ETFs.

The 10-Year Treasury yield signals that the market does not expect a recession in the near term. Current yield levels suggest inflation expectations remain elevated compared to recent years. Investors should interpret the bond market as pricing in persistent inflation rather than imminent economic contraction.

Despite my usual inclination to invest in dividend-paying stocks, current market valuations and economic risks lead me to prefer raising cash over investing. The 10-year Treasury yield reflects a tug-of-war between inflation and economic weakness, influenced by tariffs and trade uncertainties. The recent U.S.-U.K. trade deal is a positive development, but it doesn't fully offset the higher tariffs still in place post-"Liberation Day."

Investors were eager to close the books on April's tariff-fueled market tantrum, which left both the Dow and S&P 500 riding three-month losing streaks despite a recent rebound. Equity ETF flows cooled, while fixed income ETFs put on a decisively skittish performance.

Some advisors are taking a tactical approach to investing. Many others are strategic and making 3-4 allocation changes a year.

Investors bet on defensive investments in short-term or ultra-short-term bond ETFs amid heightened uncertainty.