DRV ETF

Looming rate cuts has been pushing the Direxion Daily Homebuilders and Supplies Bull 3X Shares (NAIL) ETF higher. The fund has been on an upward trajectory since mid-July.

Rising yields have undoubtedly done a number on bond prices, but they open up bearish opportunities in certain inverse leverage exchange traded funds (ETFs). With the S&P 500 Bond index turning negative for the year, bullish bond investors aren't the only one feeling the pangs of the current macroeconomic environment.

Wall Street gave a mixed performance last week with the S&P 500 and the Nasdaq Composite eking out moderate gains while the Dow Jones and the Russell 2000 slumped.

Bond yields are spiking lately and investors are worried that the Fed will keep interest rates higher for a longer-than-expected period.

We recommend Direxion Daily Real Estate Bear 3X Shares ETF with a Strong Buy. We believe commercial real estate stocks are likely to decline much further this year. Key reasons include the work-from-anywhere trend, the rapid rise in interest rates, the regional banking crisis, recession and high valuation levels.

As the housing market continues to experience a rate hike-related downturn, interest in shorting housing is soaring. Indeed, it seems investors like Michael Burry — who famously earned hundreds of millions off the 2008 housing crash — have created a sort of suspended vacuum of investors eagerly awaiting the chance to cash in on the next major housing recession.