ETFdb Logo
  • ETF Database
  • Channels
    • Themes
      • Active ETF
      • Alternatives Channel
      • Artificial Intelligence
      • China Insights
      • Climate Insights
      • Core Strategies
      • Crypto
      • Disruptive Technology
      • Energy Infrastructure
      • ETF Building Blocks
      • ETF Education
      • ETF Investing
      • ETF Strategist
      • Faith-Based Investing
      • Financial Literacy
      • Fixed Income
      • Free Cash Flow
      • Innovative ETFs
      • Invest Beyond Cash
      • Leveraged & Inverse
      • Modern Alpha
      • Portfolio Strategies
      • Tax Efficient Income
    • Asset Class
      • Equity
        • U.S. Equity
        • Int'l Developed
        • Emerging Market Equities
      • Alternatives
        • Gold/Silver/Critical Materials
        • Crypytocurrency
        • Currency
        • Volatility
      • Fixed Income
        • Investment Grade Corporates
        • US Treasuries & TIPS
        • High Yield Corporates
        • Int'l Fixed Income
    • ETF Ecosystem
    • ETFs in Canada
    • Market Outlook
    • Crypto ETF Hub
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Database Categories
    • Indexes
    • Scenario Analysis
    • Watchlists
    • Head-To-Head ETF Comparison Tool
    • Mutual Fund To ETF Converter
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
  • Research
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Index Education
    • Index Insights
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Multimedia
    • ETF 360 Video Series
    • ETF of the Week Podcast
    • Gaining Perspective Podcast
    • ETF Prime Podcast
    • Video
  • Company
    • About VettaFi
    • Get VettaFi’ed
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. Trending: Insurance ETFs in Luck as Irma Shows Mercy
News
Share

Trending: Insurance ETFs in Luck as Irma Shows Mercy

Iuri StrutaSep 14, 2017
2017-09-14

ETFdb.com analyzes the search patterns of our visitors each week. By sharing these trends with our readers, we hope to provide insights into what the financial world is concerned about and how to position your portfolio.

Another hurricane swept through Florida this week, turning investors’ attention once again to insurance stocks, first place on the list for a second consecutive week. Building & construction ETFs followed with an impressive increase in viewership. Crude oil is third on the list, as the back-to-back hurricanes damaged some U.S. refineries but also dented demand. The S&P 500 Index, now in its ninth bull year, has prompted market observers to scratch their heads, while China equities have continued their rally on unabated optimism. Check out our previous trends edition at Trending: Hurricane Harvey Devastates Insurance Stocks.

Trends topics in bubbles

Content continues below advertisement

Insurance Stocks Relieved, as Irma Damage Contained

Insurance stocks are again in the hot seat with an impressive 203% rise in viewership, as investors feared the worst for the industry in the aftermath of hurricane Irma. Luckily for the insurance sector and for Florida, Irma’s intensity was less than feared, triggering a relief rally in insurance stocks. SPDR S&P Insurance (KIE A-) has advanced 3.6% this week, trimming monthly losses to just 3%.

S&P Insurance ETF SPDR (KIE)

Investors and pundits had feared hurricane Irma would be even more devastating than Harvey, which brought wide damage across Texas, pummeling insurance stocks. However, even though Irma struck the Florida Keys as a category 4 hurricane, the center of the storm missed Miami and lost steam as it mostly hit largely uninhabited areas. This past Monday, the hurricane was downgraded to a tropical storm.

Hurricane Irma’s loss in intensity is a monumental demonstration of how analysts and pundits predicted the potential damage all wrong. Initially, it had been thought the economic harm could reach well over $150 billion. The reality, however, is that the industry loss will probably not even reach $70 billion. The damage is still counted, but modeling firm AIR believes insurance firms will lose between $20 and $40 billion, while UBS analysts think losses could run between $60 and $70 billion.

The damage to U.S. economic growth is expected to be transitory. Many analysts believe it will have a negative effect on third-quarter GDP growth, but the increase in activity brought about by the re-building exercise will more than offset the damage in the last quarter.

Sign up for ETFdb.com Pro and get access to real-time ratings on over 1,900 U.S.-listed ETFs.

Construction ETFs Boosted Following Twin Hurricanes

Building & construction ETFs, which saw their viewership advance 86% this week, are expected to be busy in the upcoming period as orders may increase dramatically following the twin hurricanes. Investors took notice, sending the stocks higher. SPDR S&P Homebuilders (XHB A+) has jumped nearly 2% this week to ten-year highs, extending year-to-date gains to as much as 15.7%.

S&P Homebuilders SPDR (XHB)

A broad range of companies in the homebuilding and infrastructure industry will see an increase in their sales as Florida and Texas start to rebuild damaged infrastructure and private homes. Retailers Home Depot (HD), Lowe’s Companies (LOW) and building materials manufacturer USG Corp (USG) are among the firms expected to get a boost in sales.

The rally in infrastructure and homebuilding stocks may continue into the upcoming period, although there are certain risks related to the potential damage brought about by the hurricanes. Authorities are still assessing the impact of both hurricanes, and less damage than expected could depress the industry somewhat.

For a deeper analysis on individual ETF investments such as (XHB A+) or (KIE A-), use our ETF Analyzer tool. You can select ETFs by category or type as well as add individual ticker symbols to compare performance, expenses and dividend yield, among other metrics.

Crude Oil

Hurricanes Irma and Harvey both had negative and positive influences on crude oil, which saw its viewership rise by 78% this week. On the one hand, hurricane Harvey damaged U.S. production in Texas with the largest refinery temporarily closing doors. On the other, both Irma and Harvey dented demand as many households remain without electric power. Indeed, crude oil inventories jumped 5.9 million for the week ending September 8, while gasoline stocks saw a drawdown of more than 8.4 million barrels impacted by the production halt at the Texas refineries.

US Oil Fund (USO)

United States Oil Fund (USO B) fell a little less than 1% over the past week, reflecting the market’s undecidedness on how the twin hurricanes will impact prices. The small dip could also be attributed to the fact that a host of Gulf Coast refineries avoided being struck by hurricane Irma for a second time as it changed direction. Around six coast refineries are expected to resume production.

In other news, the Saudi Arabian oil minister met with his counterparts in Venezuela and Kazakhstan to negotiate the extension of a supply cut agreement which ends in March. A failure to reach an agreement will put pressure on oil prices, which have has stabilized around the $50 per barrel level.

S&P 500 Reaches Record Highs

The S&P 500 saw its viewership rise 71% this week, taking the fourth place in the list. The index recently reached new record highs as fears over the economic damage brought about by the twin hurricanes faded. SPDR S&P 500 (SPY A) has increased 1.4% over the past five days, extending year-to-date gains to nearly 12%.

S&P 500 SPDR (SPY)

Investors rushed to buy stocks after it became clear the harm caused by Irma and Harvey will not be nearly as large as expected. In addition, the negative effects of the hurricanes are expected to be transitory, and may spur some industries, including building and construction.

China Equities Rise on Stronger Renminbi

Traffic to Chinese equities has risen 66% in the past week. The nation’s equities have had a good run of late, with the iShares China Large-Cap (FXI A) surging 4.5% this month, as the renminbi continued to appreciate. Since 2015, when the Chinese government let the currency slide, the nation’s stock largely moved in tandem with the exchange rate, rising when it appreciated and vice-versa.

E China 25 Index Fund Ishares

In addition, investor confidence surged in light of improving domestic and global economic conditions and dissipating fears that a domestic crackdown on debt will hurt GDP growth.

The Bottom Line

Hurricane Irma and Harvey have again trended this week, but investors breathed a sigh of relief as the damage caused by the natural disasters is expected to be significantly smaller than expected. Insurance stocks have recovered as a result, while building and construction ETFs surged on expectations of an increase in orders. Demand for crude oil was negatively impacted by the hurricanes, while the S&P 500 reached record highs on optimism about economic fundamentals. Finally, China equities have been rising lately thanks to improving economic data at home and abroad.

By analyzing how you, our valued readers, search our property each week, we hope to uncover important trends that will help you understand how the market is behaving so you can fine-tune your investment strategy. At the end of the week, we’ll share these trends, giving you better insight into the relevant market events that will allow you to make more valuable decisions for your portfolio.

» Popular Pages

  • Tickers
  • Articles

Jun 13

Main Management Market Note: June 13, 2025

Jun 13

Stocks Rally in May as Tariff Fears Subside; Long Yields Move Higher

Jun 13

Boeing Stock Continues to Take Flight After April Sell-Off

Jun 13

The Value of Balancing Bitcoin With T-Bills

Jun 13

Look Across the Pond for Small-Cap Winners

Jun 13

Schwab Debuts Government Money Market ETF

Jun 13

What Closed-End Funds Could Offer Amid Uncertain Times

Jun 13

Midstream/MLP ETFs See Strong Flows Amid Outperformance YTD

Jun 13

Some Undervalued Tech Stocks Reside in This ETF

Jun 12

Bitcoin Miners Could Find Big Opportunity in Data Centers

QQQ

Invesco QQQ Trust Series I

VOO

Vanguard S&P 500 ETF

IBIT

iShares Bitcoin Trust ETF

SPY

SPDR S&P 500 ETF Trust

SCHD

Schwab US Dividend Equity ETF...

IVV

iShares Core S&P 500 ETF

GLD

SPDR Gold Shares

AIQ

Global X Artificial...

SMH

VanEck Semiconductor ETF

CNBS

Amplify Seymour Cannabis ETF


Content continues below advertisement

Loading Articles...
Our Sites
  • VettaFi
  • Advisor Perspectives
  • ETF Trends
Tools
  • ETF Screener
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Database Pro
More Tools
  • Financial Advisor & RIA Center
Explore ETFs
  • ETF News
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Information
  • Contact Us
  • Terms of Use and Privacy Policy
  • © 2025 VettaFi LLC. All rights reserved.

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X