This Week's ETF Winners & Losers
Financial-related exchange traded-funds were among best performers during the last week of November, as dovish comments from the
Federal Reserve
and a possible freeze on adjustable-rate mortgages boosted related stocks.
Citigroup
(C) - Get Citigroup Inc. Report
was the focus Tuesday, after the company said it will receive a $7.5 billion cash injection by selling a stake in the firm to an entity controlled by the government of Abu Dhabi.
On Wednesday, Fed Vice Chairman Donald Kohn said policymakers need to be "flexible and pragmatic" in order to deal with the uncertainty in the economy and financial arena, bolstering hopes for those who want to see the Fed reduce rates again.
After Thursday's close, Fed Chairman Ben Bernanke echoed Kohn's remarks, suggesting that the U.S. housing slump and recent turmoil in the markets may be hitting economic growth.
Meanwhile, shares of
Countrywide
(CFC)
,
Freddie Mac
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and other lenders surged on Friday after a report in
The Wall Street Journal
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said that the U.S. government and lenders were working on an agreement that would temporarily freeze rates on some adjustable-rate mortgage loans made to borrowers with weak credit.
The
Ultra Financial ProShares
(UYG) - Get ProShares Ultra Financials Report
ETF jumped 10.7% to $46.50. The
Financial Select Sector SPDR
(XLF) - Get Financial Select Sector SPDR Report
ETF rose 5.9% to $31. The
iShares Dow Jones U.S. Broker-Dealers
(IAI) - Get iShares U.S. Broker-Dealers ETF Report
ETF was higher by 3.8% to $50.73.
ETFs tracking homebuilders were also among the best advancers, thanks to the rumors of the deal to keep adjustable rate mortgages from resetting to higher levels for some consumers.
For the week, the
SPDR S&P Homebuilders
(XHB) - Get SPDR Homebuilders ETF Report
ETF climbed 3% to $18.84. The
iShares Dow Jones U.S. Home Construction
(ITB) - Get iShares U.S. Home Construction ETF Report
ETF added 1.6% to $17.17.
On the other hand, energy-related ETFs were among the worst performers, as crude sank below $89 a barrel. Oil prices dropped 9.6% for the week, ending at $88.71 a barrel.
The
iPath S&P GSCI Crude Oil Index
(OIL) - Get BARCLAYS BANK PLC TRACKER ZERT 18/04/41(BARCLAYS CAP SE) Report
shed 9.2% to $51.55. The
United States Oil
(USO) - Get United States Oil Fund Report
lost 9.1% to $69.75. The
PowerShares DB Oil
(DBO) - Get Invesco DB Oil Fund Report
was down 6.8% to $33.18.
Bundled securities tracking gold futures were also lower over the five sessions. Gold futures slumped 5.1% for the week to close at $789.10 an ounce.
The
Market Vectors Gold Miners
(GDX) - Get VanEck Gold Miners ETF Report
ETF finished down 5.1% at $46.36. The
iShares Comex Gold Trust
(IAU) - Get iShares Gold Trust Report
ETF eased 5% to $77.39. The
streetTRACKS Gold Shares
(GLD) - Get SPDR Gold Shares ETF Report
ETF finished down 4.8% to $77.32.
