This week kicked off another highly-anticipated earnings season, sending markets into a volatile frenzy as investors delved into the bellwether results to uncover some hint of market direction for the second half of the year. Alcoa and Intel both reported strong earnings, while other big names like Google, Bank of America, and Citigroup let down investors with disappointing Q2 results. In energy markets, BP finally installed a successful cap on its leaking oil well nearly a mile beneath the ocean’s surface. All eyes are still on the well to see if the cap will hold until the relief drilling efforts are completed in mid-August. Though the markets had been on a hot streak, they were stopped dead in their tracks on Friday; broad indexes fell by more than 3% on weak bank earnings and renewed concerns about the recovery.
The past week was a very active one in the ETF space; a dozen new products hit the market, bringing the product development space back to life after a slow June. Below, we profile three of the best ETF articles of the last week from around the Web:
Does Morningstar Finally Understand ETFs? No They Don’t at Random Roger:
“Morningstar has tried to be a content provider of consequence for ETFs yet somehow after years of trying they still appear to be clueless,” writes Roger Nusbaum. In this article, he critiques the well-known Chicago-based firm’s take on the industrials ETF landscape, offering up his own opinions on this corner of the market. Nusbaum goes on to outline several ETFs that have heavy industrial sector weightings, highlighting some of the unique characteristics of many ETFs that maintain very narrow focuses.
UBS MLP Push Heats Up With New Gas ETN at Index Universe:
UBS continued its push into a popular corner of the ETF market, rolling out another product offering exposure to U.S. master limited partnerships (MLPs). One of the newest ETPs to hit the market focuses on the natural gas corner of the MLP market; the with E-TRACS Alerian MLP Gas MLP Index (MLPG) offers exposure to companies that earn the majority of their cash flow from the transportation of natural gas. According to Olivier Ludwig, we may not have seen the last of growth in this space: he notes that both Alerian and Van Eck Global have plans to roll out similar products, perhaps in the not-so-distant future.
Three ETFs To Play Jim Rogers’ Advice at ETF Database:
Jim Rogers first rose to fame when he started the Quantum fund in the 70′s; after consistently delivering eye-popping returns, he became one of most respected investors of the last half century. Rogers isn’t afraid to share his views; he is bullish on the emerging market China, believing so strongly in the Asian market that he moved his family to Singapore. He’s also known for advocating investments in commodities, including precious metals and agricultural resources. Rogers recently offered up his take on the current landscape; Eric Dutram outlines some ETF options for investors interested in drafting the legendary Rogers.
Disclosure: No positions at time of writing.