NEW YORK ( TheStreet) -- Here are five ETFs to watch this week.
SPDR KBW Banks ETF (KBE)Earnings season kicks off this week with aluminum giant, Alcoa (AA) scheduled to announce its quarterly performance and outlook after the bell. In the days ahead, a number of companies hailing from across the market spectrum will follow suit, providing investors with insight into the state of the U.S. and global economic recoveries.
The financial industry will be of particular interest among earnings watchers during the latter half of the week when JPMorgan (JPM) and Citigroup (C) step up to the plate. These two firms rank as the first and second largest KBE components respectively and together account for 15% of its index.
Since peaking in mid-Feb, shares of KBE have stuck to a steady downward path. Strong earnings showings from JPM and C could help to slow the fund's retreat but I urge investors to continue to exercise caution here.
First Trust Dow Jones Internet Index Fund (FDN)Google (GOOG) will be sure to draw crowds on Thursday when the company announces its quarterly earnings performance and outlook. ETF investors looking for heavy exposure to the firm should turn to FDN. GOOG accounts for 10% of this fund's assets, making it its number one holding.
Last week, First Trust managed to generate a lot of buzz across the investing industry following the launch of its newest subsector ETF, the First Trust ISE Cloud Computing Index Fund (SKYY - Get Report). The first product of its kind, SKYY is designed to track a basket of companies involved in the cloud computing industry. Although it has only been available since last Wednesday, SKYY has exploded in popularity; the fund's average daily volume already stands at over 500,000.As investors return from vacation and prepare for the week ahead, SKYY will likely be a fund to keep an eye on.