ProShares UltraPro Short QQQ ETF (NASDAQ:SQQQ) shares are trading lower by 3.97% to $18.40 Wednesday morning. Major indexes are higher after June CPI data showed softer-than-expected inflation.
For the unitiated, SQQQ is a popular, 3x-leveraged inverse ETF that tracks the Nasdaq-100.
What Happened?
U.S. CPI inflation in June decelerated more than anticipated, reinforcing investor expectations of a single rate hike by the Federal Reserve followed by a halt to its tightening cycle. The Bureau of Labor Statistics’ data reveals a drop in the annual inflation rate from 4% in May to 3% in June, slightly below the average economist forecast of 3.1%.
This marks the twelfth consecutive month of declining inflation and the lowest reading since March 2021…Read More
What Else?
SQQQ is primarily designed for short-term trading and market timing strategies. Some investors may use it as a tool to take advantage of anticipated market downturns or as a tactical way to implement short-term trading strategies based on their outlook for the Nasdaq-100 Index.
According to data from Benzinga Pro, SQQQ has a 52-week high of $42.44 and a 52-week low of $16.10.
