5 ETFs to Watch This Week
NEW YORK (TheStreet) - Here are 5 ETFs to watch this week.
Market Vectors India Small Cap Index ETF
(SCIF) - Get Report
The Indian markets were sent into a tailspin last week, weighed down by concerns regarding the nation's corruption. As a result, ETFs designed to track the nation's economy were battered. The small-cap companies underlying SCIF were hit especially hard, leading the fund to crumble to brand new all time lows.
Investor sentiment will likely be pressured heading into the near future and this could cause products such as SCIF and
WisdomTree India Earnings ETF
(EPI) - Get Report
to perform in a shaky manner.
Emerging markets still hold promise heading towards the New Year. However, in order to avoid the pain that can result from issues such as the one currently facing India, it is essential to keep a close watch on your portfolio's exposure.
iShares Dow Jones Transportation Average Index Fund
(IYT) - Get Report
Late this week, transportation bellwether,
FedEx
(FDX) - Get Report
will release its quarterly earnings report to the public. Listed as the fund's largest holding, the company's performance will play a major part in directing IYT's action heading into the end of the year.
Aside from FedEx's earnings report, IYT remains an exciting fund to watch as we dive headlong into the holiday gift-giving season. As consumers increasingly turn to online retailers to get their last minute shopping done, timely delivery from companies such as FDX and UPS will become an increasingly essential ingredient.
Guggenheim Canadian Energy Income ETF
(ENY)
This week, Canada's Finance Minister, Jim Flaherty offered up some promising words for his home nation. On top of highlighting a collection of optimistic fiscal data points such as the country's stable debt-to-GDP ratio, Flaherty turned to the future of the nation's ample natural resource industry. The politician went as far as labeling Canada an "emerging energy superpower."
Aggressive investors that share Flaherty's optimistic views may want to consider putting ENY on their radar in the near future. Whereas broad-based Canada ETFs such as
iShares MSCI Canada Index Fund
(EWC) - Get Report
tap into the many facets of the nation's economy, ENY is comprised solely of companies involved in Canada's energy industry.
This industry will benefit as markets around the world continue on the path to recovery and emerging nations such as China continue to seek out ways to quench its thirst for energy.
SPDR S&P Retail ETF
(XRT) - Get Report
This retail ETF has seen a nice jump in our long term momentum rankings as consumers load up on goods in preparation of the holiday season. Although it has seen a dramatic, multi-month run up already, as we head into this week, XRT looks like it could hold onto its recent strength, benefiting from the diverse mix of luxury, discount and teen-related retailers underlying its index.
Two important data points retail hungry investors should keep an eye on this week are retail sales number and
Best Buy
's
(BBY) - Get Report
earnings report which are both slated to be released on Tuesday.
iShares Silver Trust
(SLV) - Get Report
It typically takes a backseat to gold in terms of popularity, but recently silver has enjoyed the spotlight as demand for precious metals combined with improving market sentiment have help drive the industry-linked commodity to staggering heights.
SLV's run-up has been dramatic and therefore it is not surprising that investors used the past week as an opportunity to take profits. I would not advise investors to dive in, however. This fund could be in for a further correction and for now, the best option would be to stick to the sidelines.
Written by Don Dion in Williamstown, Mass.
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At the time of publication, Dion Money Management did not own any equities mentioned.
This commentary comes from an independent investor or market observer as part of TheStreet guest contributor program. The views expressed are those of the author and do not necessarily represent the views of TheStreet or its management.