Market Commentary — August 29, 2022

Stocks sold off last week on rate worries thanks to the hawkish tone coming out of the Kansas City Fed’s annual conference in Jackson Hole, Wyoming. Further spooking markets were Jerome Powell’s hawkish comments paired with weak economic data. Much of the week’s economic data surprised on the downside, providing evidence that growth had slowed considerably in recent weeks in response to previous Fed tightening. Once again, investors are questioning, will the Fed be able to tame inflation without causing a recession?

On Tuesday, S&P’s composite gauge of service and manufacturing activity fell further into contraction territory, hitting its lowest level since early 2020. Sales of new homes in July fell for the sixth month in a row, at the slowest pace since early 2016. And both personal income and spending rose well below consensus expectations (0.2% versus 0.6% and 0.1% versus 0.4%). On the positive, the University of Michigan’s index of consumer sentiment rose more than expected, hitting 58.2 in August, rebounding from June’s record low of 50.

Technology and other high-growth stock sold off the hardest last week. The Nasdaq Composite Index fell to its lowest level in a month. Rising oil prices sparked renewed inflation worries, but boosted energy stocks. All in all, volume was pretty light last week given all the Wall Street vacationing.

What’s new in ETF land?

Well, the most exciting news from our perspective is the launch of NDIV, the Amplify Natural Resources Dividend Income ETF, which is expected to pay a monthly dividend in excess of 9%. And given the dividend is tied to inflation and energy transition, commodity supercycle induced monster cash flows, which is one of the highest ETF dividend yields out there without options or leverage. (And it’s our index!).

The SEC has delayed VanEck’s third spot Bitcoin ETF application.

Innovator launched a hedged Tesla strategy (TSLH), giving investors hedged exposure to Tesla’s performance in the form of a downside buffer and capped upside return.

After a slow first half for ETF launches, thanks to a flurry of single stock and single bond ETF filings, 2022 has edged out last year once again. There have been 259 launches so far this year, versus 257 by the same time last year, according to

Next week is the last week of summer. Hope you get out there and enjoy it!

Jane Edmondson
CEO and Co-Founder

Share this Market Commentary


EQM Indexes LLC is a woman-owned firm dedicated to creating and supporting innovative indexes that track growth industries and emerging investment themes. Co-founded by Jane Edmondson, a former Institutional Portfolio Manager with more than 25 years in the investment industry.


The information provided on this page is for illustrative purposes only and is not intended to serve as investment advice. The information provided is as of particular time and subject to change at any time without notice.

It is not possible to invest directly in an index. Exposure to an asset class represented by an index is available through investable instruments based on that index. EQM Indexes does not sponsor, endorse, sell, promote or manage any investment fund or other investment vehicle that is offered by third parties and that seeks to provide an investment return based on the performance of any index. EQM Indexes Indices makes no assurance that investment products based on the Index will accurately track index performance or provide positive investment returns. EQM Indexes is not an investment advisor, and makes no representation regarding the advisability of investing in any such investment fund or other investment vehicle. A decision to invest in any such investment fund or other investment vehicle should not be made in reliance on any of the statements set forth in this article. Prospective investors are advised to make an investment in any such fund or other vehicle only after carefully considering the risks associated with investing in such funds, as detailed in an offering memorandum or similar document that is prepared by or on behalf of the issuer of the investment fund or other vehicle. Inclusion of a security within an index is not a recommendation by EQM Indexes to buy, sell, or hold such security, nor is it considered to be investment advice.