S&P 500 ETF (IVV) Hits a New 52-Week High

For investors looking for momentum, iShares Core S&P 500 ETF IVV isprobably a suitable pick. The fund just hit a 52-week high and is up 42.4% from its 52-week low price of $300.11/share.

Let’s take a look at the fund and its near-term outlook to gain an insight into where it might be headed:

IVV in Focus

The fund's goal is to track as closely as possible, before fees and expenses, the total return of the S&P 500 Index. It has AUM of $282.87 billion and charges 3 basis points in annual fees.

Why the Move?

Wall Street cheered President Joe Biden’s announcement of the White House striking an infrastructure deal with a bipartisan group of senators. Moreover, the U.S. economy seems to be on the path of recovery from the pandemic-led slowdown. Markedly, accelerated vaccine distribution, strong fiscal stimulus support and the reopening of non-essential businesses are expected to fasten the pace of economic recovery. Furthermore, certain economic data releases are pointing toward economic recovery. This is making funds like IVV an attractive investment option.

More Gains Ahead?

The fund has a Zacks ETF Rank #2 (Buy). It seems like the fund will remain strong, with a positive weighted alpha of 38.85, which gives cues of further rally.

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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.