The SPDR S&P 500 ETF Trust (SPY) gained 0.58% today, April 9, due to optimism over a potential U.S.-Iran ceasefire, which helped ease energy disruption fears.
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Importantly, SPY closely tracks the S&P 500 Index (SPX), which was up 0.62% in the regular trading session, while the tech-heavy Nasdaq-100 (NDX) also rose 0.72%.
Key Catalysts That Can Move the SPY ETF
Key catalysts for the SPY ETF during this week include the developments in the Middle East, high energy prices, and upcoming U.S. economic data releases. On Friday, April 10, investors will watch the March Consumer Price Index, a key inflation read that could influence expectations for future Fed policy.
While major banks officially kick off Q1 earnings season next week, several notable companies report in the days ahead, including BlackRock (BLK).
Fund Flows and Sentiment
SPY’s five-day net outflows totaled $1 billion, showing that investors pulled capital from the ETF over the past five trading days. Meanwhile, its three-month average trading volume is 89.16 million shares.
It must be noted that the crowd wisdom for the SPY ETF is very positive, while the hedge fund managers have increased their holdings of the ETF in the last quarter.
SPY’s Price Forecast
According to TipRanks’ unique ETF analyst consensus, which is based on a weighted average of analyst ratings on its holdings, SPY has a Moderate Buy rating. The Street’s average price target of $828.04 for the SPY ETF implies an upside potential of 21.79%.
Currently, SPY’s five holdings with the highest upside potential are:
Meanwhile, its five holdings with the greatest downside potential are:
Revealingly, SPY ETF’s Smart Score is seven, implying that this ETF is likely to perform in line with the broader market over the long term.