Invesco S&P 500 Quality ETF Price & Performance (SPHQ)

The NFIB Small Business Optimism Index dropped for the second consecutive month to 100.7 in February, slightly below forecasts. Concerns over labor quality and inflation persist, with uncertainty spiking to near-record levels. Many small businesses are delaying expansion plans, highlighting their crucial role in the broader economic landscape.1

As recession fears grow, Wall Street analysts recommend focusing on quality stocks with strong earnings and low debt. Quality-factor ETFs, such as Vanguard US Quality Factor ETF, remain a strategic choice for navigating market stress, despite underperformance this year. Analysts highlight their defensive potential during economic uncertainty.2

With CNN's Fear & Greed Index at its lowest in over a year and the VIX spiking 20% in February, defensive ETFs are gaining attention. Funds like Invesco S&P 500 Low Volatility ETF offer lower risk by focusing on stable sectors like healthcare and utilities, providing a buffer against market turbulence.3