Dion's Thursday ETF Winners and Losers - TheStreet

Dion's Thursday ETF Winners and Losers

Natural gas prices are pocketing some of the strongest gains today, thanks to an EIA report which showed storage numbers below expectations.
Author:
Publish date:

NEW YORK (TheStreet) -- Welcome to Don Dion's Daily ETF Winners and Losers. Be sure to stop by each day to get a feel of who's winning and who's losing when it comes to ETFs.

Winners

United States Natural Gas Fund (UNG) - Get Report 5.5%

Natural gas prices are pocketing some of the strongest gains today, thanks to an EIA report which showed storage numbers below expectations. This report is helping to power UNG and the

iPath Dow Jones-UBS Natural Gas Total Return Subindex ETN

(GAZ) - Get Report

to some of the strongest gains of the day.

While I don't encourage investors to try their luck with either of these two futures-based products, an equity-based fund like the

First Trust Revere-ISE Natural Gas Index ETF

(FCG) - Get Report

may prove strong if natural gas prices remain strong.

First Trust Dow Jones Internet Index ETF (FDN) - Get Report 1.8%

An

ETF Action

holding, FDN is seeing a strong boost today. As I highlighted recently on my

RealMoney

blog, I feel that internet companies underlying FDN, such as

Amazon

(AMZN) - Get Report

and

eBay

(EBAY) - Get Report

, could prove to be an effective way to get in on a strong retail sector.

Losers

iPath Dow Jones-UBS Copper Total Return Subindex ETN (JJC) - Get Report -3.6%

Copper is tumbling today thanks to a strengthening dollar and a less than optimistic demand forecast from top producers

Freeport McMoRan Copper & Gold

(FCX) - Get Report

and Codelco. These two mining giants are worried that if China is successful in its attempts to rein in its economy, demand for the red metal will tumble, leading to price dips.

iShares MSCI South Africa Index Fund (EZA) - Get Report -3.6%

Weakness across the broad materials sector is putting pressure on the South Africa ETF and other ETFs heavily exposed to miners. EZA's portfolio dedicates nearly 30% of its portfolio to firms responsible for producing precious and base metals.

Reflecting this weakness,

SPDR Metals & Mining ETF

(XME) - Get Report

and

Market Vectors Gold Miners ETF

(GDX) - Get Report

are also among the ETF industry's biggest losers.

iShares MSCI Spain Index Fund (EWP) - Get Report -3.0%

The European debt crisis is not yet behind us and investors should continue to avoid exchange-traded products focused on the region's constituents. Thursday's dip from EWP comes as the nation continues to debate over the proper way to handle the nation's money issues.

Market Vectors Brazil Small Cap Index ETF (BRF) - Get Report -2.2%

Among the popular BRIC nations, Brazil is taking the biggest hit. Both the large-cap

iShares MSCI Brazil Index Fund

(EWZ) - Get Report

and the nation's smallest companies, as tracked through BRF, are leading the way lower.

As with any small-cap ETF, BRF is typically considered more volatile than their large cap cousins and therefore should only be used by risk tolerant investors.

All prices as of 2:16 PM EST

At the time of publication, Dion Money Management owned GDX and FDN.

Don Dion is president and founder of

Dion Money Management

, a fee-based investment advisory firm to affluent individuals, families and nonprofit organizations, where he is responsible for setting investment policy, creating custom portfolios and overseeing the performance of client accounts. Founded in 1996 and based in Williamstown, Mass., Dion Money Management manages assets for clients in 49 states and 11 countries. Dion is a licensed attorney in Massachusetts and Maine and has more than 25 years' experience working in the financial markets, having founded and run two publicly traded companies before establishing Dion Money Management.

Dion also is publisher of the Fidelity Independent Adviser family of newsletters, which provides to a broad range of investors his commentary on the financial markets, with a specific emphasis on mutual funds and exchange-traded funds. With more than 100,000 subscribers in the U.S. and 29 other countries, Fidelity Independent Adviser publishes six monthly newsletters and three weekly newsletters. Its flagship publication, Fidelity Independent Adviser, has been published monthly for 11 years and reaches 40,000 subscribers.