Three ETFs To Watch This Week: IEO, TAN, UNG

by on April 30, 2012 | ETFs Mentioned:

Despite Friday’s relatively large miss in GDP, stocks were able to post a week in the black as strong earnings helped major indexes make a run higher. Unfortunately, it seems that we are still at the mercy of Europe as any news about Spanish debts will rock markets. The coming week features the tail end of earnings season, as a number of the world’s largest companies have already reported. Perhaps the most notable result came form Apple (AAPL) who crushed analyst estimates and saw their share price skyrocket as a result. With another busy week ahead of us, we detail three ETFs to keep a close eye on as trading patterns unfold [see also 12 High-Yielding Commodities For 2012].

Dow Jones U.S. Oil & Gas Exploration & Production Index Fund (IEO)

Why IEO Will Be In Focus: This fund measures the performance of the oil exploration and production sector of the US. Trading since 2006, IEO has amassed over $350 million in assets and trades roughly 125,000 on a daily basis. Its primary focus this week will come from earnings from Apache Corp (APA) and Devon Energy (DVN). APA (8.3%) ranks as the number three holding of this ETF while DVN comes in at number five, with a 5.9% allocation. Devon reports on Wednesday and Apache reports on Thursday [see also 25 Ways To Invest In Natural Gas].

Solar ETF (TAN)

Why TAN Will Be In Focus:¬†This fund measures the solar industry around the world and it has been no stranger to trouble. TAN has sank more than 68% in the past three years with 10% of those losses coming in 2012. Its focus for the week will come from two key earnings reports. First, will come JinkSolar (JKS). While it does not make an appearance in the top holdings of this ETF, its commentary on the Chinese solar market will have significant¬†ramifications¬†for TAN. On Thursday, First Solar (FSLR), the second biggest holding of the fund, will be releasing their most recent quarter’s results keeping this ETF active all week long [see also The Ultimate Guide To Solar Power Investing].

United States Natural Gas Fund LP (UNG)

Why UNG Will Be In Focus: This ETF has been one of the worst performing funds over the past few years, as the decline in natural gas prices has destroyed UNG’s value. But the past week saw the fund make a nice bounce as NG prices saw some relief in their prices. The coming week will be big for UNG as it will look to establish some upward momentum that has been missing for years on end. The fund currently holds about $780 million in assets and trades hands just over 8.4 million times each day [see also Why You Should Invest In Natural Gas: The Fuel of the Future].

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Disclosure: No positions at time of writing.