The Associated Press says that Sprint already warned in January that subscriber numbers were lower than what Wall Street expected.
The telecom sector may be wired for a downward trend. Before you hang up, consider Bush’s comments about protecting the phone companies. Could it affect related ETFs?
- iShares Dow Jones US Telecom (IYZ): Down 17.6% year-to-date; among its top holdings are AT&T (T) 22.6%; Sprint (S) 7.1%; Verizon (VZ) 14.6%.
- iShares S&P Global Telecommunications (IXP): Down 10.2% year-to-date; among its top holdings are AT&T 16%; Vodafone GRP (VOD) 12.6%; Telefonica SA (TEF) 9.6%.
IXP contains global exposure to the telecommunications industry, while IYZ focuses on domestic companies.