Why have utilities been moving and nobody is paying attention? The utilities have been one of the best performing exchange traded funds. As this sector tends to be overlooked, "our utilities are unsung but reliable constants in practically every daily action," according to Beth Gaston Moon in Forbes.
The ETFs representing utilities have reached new highs recently and are up on average 13% for the year. Amex Utilities HOLDRs Trust (UTH) and Select Sector SPDR Utilities (XLU) both hold Southern Company (SO) and Exelon (EXC) in their top weighted holdings. Both of these companies have been performing well and SO is the largest distributor of electricity in the nation.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.