Eyeing ETF flows ahead of this week's Fed meeting

• Fed decision this week has a 35% chance of a rate cut, with an 80% chance priced in for next month.
• Bond ETFs with covered call strategies (e.g., TLTP, LQDM) are recommended to boost income (targeting 12% yield) and hedge against rate cutting uncertainty.
• The SOFR ETF (SOFR) is presented as an attractive option for investors seeking to sit out market drama, yielding 3.6% for an overnight duration play.

Bonds are a key focus ahead of this week's Fed decision, with a 35% chance of a rate cut. Christian Magoon of Amplify ETFs suggests bond ETFs with covered call strategies, such as TLTP and LQDM, to generate boosted income (targeting 12% yield) and hedge against rate uncertainty. For those preferring to sit out the drama, the SOFR ETF is highlighted for its attractive overnight cash rate.