Dynegy Deal Lifts Utility ETFs

Utility ETFs are rising on Friday amid lackluster trading in stocks.
Author:
Publish date:

NEW YORK (

TheStreet

) -- Utility ETFs rose on Friday amid lackluster trading in stocks. Blackstone's buyout of

Dynegy

(DYN)

and overall weakness in sentiment lifted demand.

The buyout of Dynegy by Blackstone sent the stock soaring nearly 60%, helping to lift other utility stocks. Uncertainty about economic growth also pushed investors towards the sector, traditionally viewed as safe-haven equity stocks because of their high dividend yield.

The

Utilities Select Sector SPDR

(XLU) - Get Report

is gaining 0.9%, with its top holdings

Southern Company

(SO) - Get Report

and

Exelon Corp

(EXC) - Get Report

gaining about 0.9% each.

Also gaining is the

iShares Dow Jones US Utilities ETF

(IDU) - Get Report

, up 0.6% and the

Vanguard Utilities Index

(VPU) - Get Report

is up 0.7%.

Treasury ETFs continue to be popular with investors with the

iShares Barclays 20+Year Treasury

(TLT) - Get Report

gaining 1%. The 10-year bond yield slid to 2.704%.

Other ETFs gaining on Friday include the

Market Vectors Gaming ETF

(BJK) - Get Report

up 0.6% and

Market Vector Solar ETF

(KWT)

up 0.5%.

-- Reported by Shanthi Venkataraman in New York.

Follow TheStreet.com on

Twitter

and become a fan on

Facebook.

Disclosure: TheStreet's editorial policy prohibits staff editors and reporters from holding positions in any individual stocks.