ETF Outlook for the week of December 9, 2013
iShares S&P India Nifty 50 ETF (NYSE:
The Indian stock market is up 20 percent since September and
the continued delay of the Fed taper could help push the gains
even higher. According to Barron's this weekend, the country
trades at an attractive valuation with a forward P/E ratio of
only 13.0. Add in the expected earnings growth of 8-10 percent
going forward and the country looks like a buying
INDY is a basket of 50 stocks with a heavy concentration on
the banks, technology, and cigarettes. Despite the rally since
September, the ETF remains lower by 3 percent for the year. This
week the Barron's article could bring more attention to the ETF
and it could continue the recent breakout.
iShares Dow Jones Transportation Average Index ETF (NYSE:
Cold and inclement weather wreaked havoc around the country
this weekend. The snow could be seen in several NFL stadiums on
Sunday as teams battled the freezing temperatures and wind. The
NFL was not the only people dealing with weather, travelers and
transportation companies also had to make major changes to their
everyday business the last few days.
The sector with the largest exposure in IYT is the railroads,
which should not have been too affected by the weather. However,
the delivery services and airlines make up 37 percent of the ETF
and both were directly affected by the weather the last few days
and more is expected early in the week on the east coast.
Market Vectors Gaming ETF (NYSE:
The gaming stocks have quietly put together a good rally
recently and a solid 2013 based on some bullish trends in the
industry. Talks of casinos coming to Japan along with a solid
start to the online gambling in New Jersey are just two catalysts
that could help push the related stocks higher. For the year BJK
is up a whopping 46 percent and is trading near its highest level
Health Care ETFs After Obamacare (IHF, XLV, UNH,
With only 29 percent of the ETF in the U.S., BJK is a truly
global investment opportunity. Asia makes up a good portion of
the portfolio and is with its growth in the gaming mecca of
Macau, the region should continue to perform well.
iShares MSCI Mexico Index ETF (NYSE:
The country is getting set to open up its energy sector and
end the monopoly of state-run Pemex for the first time in
decades. The bill would open up the country's energy resources to
private companies and allow them to explore and extract the
commodities. The estimates are that the move could add a whole
percentage point onto the GDP for the country.
The ETF has been struggling this year with a loss of 3
percent. However, the ETF has been starting to perk up over the
last few weeks. If the deal goes through it would be good for the
entire Mexican economy, especially the consumer goods and
financials, two sectors that account for a large portion of
(c) 2013 Benzinga.com. Benzinga does not provide investment
advice. All rights reserved.
Free Trading Education -
Check out the free events taking place on Marketfy
this week. Spaces are limited. Sign up today.