Apple retail stores in China are showing signs of life again after the coronavirus forced the shuttering of certain stores earlier this month. 29 of Apple’s 42 retail stores in Mainland China have re-opened albeit certain stores only remaining open for limited hours.
Earlier this month, Apple had to temporarily shut stores down as part of a coordinated effort the government and private enterprises in order to exercise caution amid the coronavirus outbreak. The news comes as the company said last week that the virus resulted in weakened China demand for iPhones, which will hurt Apple’s revenue projections for the fiscal second quarter.
Per a CNBC report, “UBS analyst Timothy Arcuri said in a note on Monday that Apple’s iPhone sales in China were up 5% year over year in January, significantly outperforming the rest of the Chinese smartphone market, citing Chinese government data. However, he warned that due to the shutdown of retail stores and a ‘gradual and uncertain pace of normalcy’ that February shipments could worse than expected.”
If Apple’s recent store re-openings are a positive sign for the broader retail sector, traders can play the move with the Direxion Daily Retail Bull 3X ETF (RETL ). RETL seeks daily investment results equal to 300% of the daily performance of the S&P Retail Select Industry Index, which is a modified equal-weighted index that is designed to measure the performance of the stocks comprising the S&P Total Market Index that are classified in the Global Industry Classification Standard (GICS) retail sub-industry.
RETL and Direxion’s other leveraged ETFs are ideal for investors looking to:
- Magnify short-term perspective with daily 3X leverage
- Go where there’s opportunity, with bull and bear funds for both sides of the trade
- Stay agile – with liquidity to trade through rapidly changing markets
For traders looking for options without triple the leverage, they can opt for the following funds:
- SPDR S&P Retail ETF (XRT ): seeks to provide investment results that correspond generally to the total return performance of an index derived from the retail segment of a U.S. total market composite index. The index represents the retail segment of the S&P Total Market Index (“S&P TMI”).
- Amplify Online Retail ETF (IBUY ): seeks investment results that generally correspond to the price and yield of the EQM Online Retail Index. The index seeks to measure the performance of global equity securities of publicly traded companies with significant revenue from the online retail business. The index methodology is designed to result in a portfolio that has the potential for capital appreciation.
This article originally appeared on ETFTrends.com.