ProShares UltraPro Short S&P 500 (ETF) (NYSEARCA:SPXU) Gain Over 2%


Dallas, Texas 10/16/2013 (Financialstrend) – At close of business on October 15, the stock of the exchange traded fund ProShares UltraPro Short S&P 500 (ETF) (NYSEARCA:SPXU) had gained 2.1% from its previous day close. It was trading at $19.98 per share at close of the day. The ETF has shed close to 29% of its market value over the past 6 months. It is also trading well below its 200 day moving average by close to 22%. At current valuations, the share price of the fund is trading 56% below its 52 week high and 4.66% above its 52 week low pricing.

The spurt in the ETF stock towards end of the day on October 15 is likely related to breaking news that the House Republicans have stepped back from the brink and are ready to let the bill move on to the senate. In context to this new development, a prepared note from Senator Reid read as follows “Senator Reid and Senator McConnell have re-engaged in negotiations and are optimistic that an agreement is within reach.” On the back of this development, the S&P 500 futures zoomed up 0.8% propelling along other ETF like IVV and SPY. The rally in the S&P index was earlier preceded by rating agency Fitch downgrading U.S credit rating.

ProShares is a trading and advisory firm that offers its neo rich customers a broad range of alternative Exchange Traded Funds. The fund managers pride themselves on providing exposure and access to differentiate investment opportunities to its customer base and investors.  ProShares has over the years built up a huge 142 ETF portfolio which fall under specific investment groups like Global Fixed Income or Inflation and Volatility ETFs. Expounding on the investment philosophy of his firm Michael Sapir, the Chairman and CEO of ProShare has been quoted as saying “Consistent dividend growth is considered an important indicator of our company’s financial strength.”