Vanguard Intermediate-Term Bond Index Fund ETF Shares [BIV] Stock Forecast

Investors appear to be taking a Goldilocks-like approach to bonds — not too short and not too long. According to a Reuters report, investors have been opting for intermediate term-bonds funds of the Treasury variety as uncertainty over the U.S. Federal Reserve's policy looms.

BIV: Why The ETF Is A Good Investment

Two renowned Wall Street firms, Morgan Stanley and JPMorgan, are advising investors to consider purchasing five-year U.S. Treasury notes, per Bloomberg, as quoted on Yahoo Finance.

Investing in bond ETFs has been challenging, but that may change as bonds become a great diversifier. Vanguard Intermediate-Term Bond Index Fund ETF Shares is worth considering, as it tracks the performance of the Bloomberg U.S. 5-10 Year Government/Credit Float Adjusted Index. The BIV ETF has a large portfolio, low expense ratio, and potential for a steady income and capital appreciation in a stabilizing or decreasing interest rate environment.

Despite the Fed's aggressive monetary tightening and the regional banking crisis earlier this year, the U.S. economy has been surprisingly resilient. Bond yields continue to rise, with long-term Treasuries at their highest level since October 2007.

A total of $45.9 billion flowed into fixed income strategies in the second quarter. And much of these inflows were into intermediate fixed income ETFs.

Traders are pricing in a 1-in-3 chance of a quarter-point rate increase by the November Federal Reserve meeting. Q3 GDP growth is tracking at over 5%, but the chance of a rate hike at the September FOMC meeting remains modest. I reiterate my hold rating on the Vanguard Intermediate-Term Bond Index Fund ETF Shares.

After a series of interest rate hikes, the Federal Reserve decided to hold steady on Wednesday. For now, the Fed is keeping the federal funds rate at its current target range of 5% to 5.25%.

Rates Are Close Peaking; I Am Cautious On Equities.

U.S. companies announced nearly 90,000 layoffs in March, up 15% from the 78,000 announced in February and up 319% from the more than 21,000 cuts announced in the same month in 2022, according to a report released Thursday from global outplacement and business and executive coaching firm Challenger, Gray & Christmas.

Vanguard Intermediate-Term Bond Index Fund ETF Shares is a US stock and trading under the symbol BIV

Vanguard Intermediate-Term Bond Index Fund ETF Shares stock price is $73.33 today.

Yes, Vanguard Intermediate-Term Bond Index Fund ETF Shares is a publicly traded company.