ETF Outflow Warning: FVD, EXPD, AXS, CSCO
FVD Share Price Analysis: FVD's share price is currently at $46.62, with a 52-week low of $40.07 and a high of $47.01, indicating a relatively stable trading range.
Understanding ETFs: Exchange-traded funds (ETFs) function like stocks, where investors buy and sell "units" that can be created or destroyed based on demand, impacting the underlying assets.
Monitoring ETF Flows: Weekly monitoring of shares outstanding helps identify ETFs with significant inflows (new units created) or outflows (units destroyed), which can affect the individual components within those ETFs.
Disclaimer on Views: The opinions expressed in the article are those of the author and do not necessarily represent the views of Nasdaq, Inc.
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- Cisco's Share Performance: Cisco shares fell by 6.6% following the release of its quarterly earnings report.
- Gross Margin Concerns: The company's gross margin was reported to be below market estimates, raising concerns among investors.
- Price Range Analysis: QQQI ETF's 52-week low is $41.1701 per share and high is $55.93, with the last trade at $52.51, indicating stability and potential investment opportunities in the current market.
- Technical Analysis Tool: Comparing the current share price to the 200-day moving average provides valuable insights for investors, helping to assess market trends and potential buying opportunities.
- ETF Trading Mechanism: Exchange-traded funds (ETFs) trade like stocks, where investors buy and sell 'units' that can be created or destroyed based on demand, impacting the underlying holdings of the ETF.
- Inflows and Outflows Monitoring: Weekly monitoring of changes in shares outstanding helps identify ETFs experiencing notable inflows (new units created) or outflows (old units destroyed), allowing for assessment of their impact on underlying assets.
- Inflation Data Decline: The January Consumer Price Index (CPI) rose 2.4% year-over-year, below the expected 2.5%, indicating easing inflationary pressures that could influence the Federal Reserve's monetary policy decisions, thereby positively impacting market sentiment.
- Tariff Adjustments: President Trump plans to roll back some tariffs on steel and aluminum, causing shares of U.S. steelmakers like Nucor and Cleveland-Cliffs to drop in premarket trading, reflecting market sensitivity to policy changes and their potential impact on related industries.
- Strong Performance from Applied Materials: The semiconductor equipment maker reported sales and earnings that exceeded expectations, with shares jumping 10%, indicating robust industry demand that may attract more investor interest in the sector's growth potential.
- DraftKings Performance Decline: The sportsbook operator's shares plunged over 15% after providing a disappointing 2026 revenue outlook, reflecting market concerns about its future growth, which may lead investors to reassess their investment strategies.
- Market Decline: The Dow Jones Industrial Average fell over 600 points, or 1.34%, while the S&P 500 dropped 1.57%, reflecting investor concerns about the potential disruptions caused by artificial intelligence across various sectors.
- Sector Rotation: As investors rotate out of industries most exposed to AI, office real estate and logistics stocks suffered significant losses, particularly due to fears that new AI tools could reduce the need for office space, causing market jitters.
- Tech Stocks Hit Hard: Cisco's shares plummeted 12%, marking its worst single-day drop since 2022, primarily due to rising memory prices impacting profit margins, while Apple's stock fell 5%, its largest one-day decline since last April, amid reports of delays in its Siri update.
- Economic Data Watch: The Bureau of Labor Statistics is set to release January's consumer price index, with economists forecasting a 2.5% year-over-year increase, which, if met, would bring the inflation gauge back to levels seen in May 2025, drawing significant investor attention.
Arista Networks Performance: Arista Networks' stock rose significantly on Friday following a positive earnings report.
Cisco Systems Contrast: In contrast, Cisco Systems experienced a selloff as investors reacted to its challenges with supply-chain costs.
Market Reaction: The market's response to Arista's earnings indicates investor confidence in its financial health compared to its peers.
Supply-Chain Management: Cisco's relative struggles with supply-chain management contributed to the negative sentiment surrounding its stock.
- Market Turmoil: On Thursday, stocks plummeted due to fears surrounding the potential disruptions from artificial intelligence, with the Dow Jones Industrial Average dropping over 600 points, or 1.34%, and the S&P 500 falling 1.57%, indicating investor anxiety about future market stability.
- Tech Stocks Hit Hard: Cisco shares plunged 12%, marking its worst day since 2022 due to rising memory prices impacting margins, while Apple saw a 5% decline, its largest single-day drop since last April, reflecting waning investor confidence in tech stocks amid AI concerns.
- Consumer Price Index Release: The Bureau of Labor Statistics is set to release January's consumer price index, with economists forecasting a 2.5% year-over-year increase; if accurate, this would bring the inflation gauge back to levels seen in May 2025, potentially boosting market sentiment.
- Climate Policy Shift: The Trump administration's revocation of the endangerment finding for six greenhouse gases is expected to worsen long-term climate change effects, with experts warning that while the EPA claims it could save consumers about $2,400 per vehicle, it may lead to increased costs from extreme weather events.








