After a strong start to last week and a relatively uneventful Fed meeting, markets finished on a slide as investors began to worry that a recent rally was a bit overdone. As central bank meetings around the developing and emerging world continue, there is no shortage of data releases and earnings reports to create another active week ahead. Below, we profile three ETFs that could see above-average volumes and potentially major price swings in coming days:
Dow Jones Emerging Markets Financials Titans Index Fund (EFN)
Why EFN Could Be On The Move: Chinese banks start reporting results for full year and fourth quarter 2009 this week, beginning with Bank of China on Tuesday. “Profits at the 14 listed banks, some of the biggest in the world by market value, are expected by analysts to rise by more than a fifth in 2010 as China’s unwinding of its massive stimulus measures helps interest margins recover,” writes Michael Wei. In addition to analyzing recent results, investors will be looking for guidance on 2010 performance, as interest rates are expected to begin rising in the world’s fastest growing economy.
iShares Dow Jones U.S. Home Construction Index Fund (ITB)
Why ITB Could Be On The Move: This week includes multiple data releases of housing data, including existing home sales on Tuesday and new home sales on Wednesday. Both reports are highly-anticipated indicators of activity in the housing sector. Because new home sales figures are volatile and often revised later, Tuesday’s report is more likely to spur a market reaction. ITB is already up more than 12% on the year, making it one of the best-performing domestic sector ETFs.
iShares Dow Jones U.S. Healthcare Providers Index Fund (IHF)
Why IHF Could Be On The Move: After a marathon session of last minute deal making and political wrangling, the House of Representatives cast several historic votes on Sunday, bringing health care reform closer to reality. IHF tracks an index composed of health care providers, such as owners and operators of health maintenance organizations, hospitals, clinics, nursing homes, and rehabilitation centers. While this industry could see a surge in customers as a result of the new bill, the full impact of the reform remains to be seen. The outcome of the weekend’s vote was very much in doubt when markets closed on Friday, so IHF could see heavy trading volumes to start the week.
Disclosure: No positions at time of writing.