Exchange-traded funds tracking the financial sector were higher Friday, after the
made a surprising cut to the lending rate to banks, calming the turbulent financial markets.
PowerShares Dynamic Financials
was rising 67 cents, or 2.8%, to $24.84. The
KBW Regional Banking
ETF was up $2.01, or 4.5%, to $46.80. The
iShares Dow Jones U.S. Broker-Dealers
was adding $2.20, or 4.7%, to $49.90. The
Ultra Financials ProShares
gained $3.04, or 5.6%, to $57.14.
Bundled securities tracking REITs were also rebounding. The
iShares FTSE NAREIT Mortgage REITs
was adding $2.58, or 9.1%, to $30.88. The
iShares FTSE NAREIT Residential
was rising by $2.06, or 4.7%, to $45.84. The
Ultra Real Estate ProShares
was up $2.28, or 5.6%, to $42.73.
Emerging market-related ETFs were also rebounding from the previous session's selloff. The
Vanguard Emerging Markets Stock
ETF was up $3.20, or 3.9%, to $85.60. The
BLDRS Emerging Markets 50 ADR Index
was higher by $1.52, or 3.8%, to $41.62. The
iShares MSCI Emerging Markets Index
gained $3.99, or 3.4%, to $122.49.
On the other hand, ETFs following U.S. Treasuries were among the only losers during a stronger session for the major averages Friday, as traders pulled money from the bond market and dumped it into equities. Recently, the 10-year Treasury note eased 3/32 in price, yielding 4.67%, and the 30-year bond was losing 10/32, yielding 4.98%
SPDR Lehman Long Term Treasury
was shedding 21 cents, or 0.4%, to $50.60. The
iShares Lehman 3-7 Year Treasury Bond
dipped 29 cents, or 0.3%, to $101.58.