Financial ETFs Benefit From Fed? | ETF Trends

The Federal Reserve spoke on interest rates last week, leaving the outlook for financial sector exchange traded funds (ETFs) looking positive. Short-term rates remain unchanged at 5.25% and the Federal Open-Markets Committee signaled happiness with an economy expected to "expand at a moderate pace", reports Kevin Baker of TheStreet.com. The housing market is showing signs of stabilization while inflation is likely to moderate.

Look into the Financial Select Sector SPDR (XLF) to see how the stable outlook could affect this sector.  So far the ETF is up 2% for the year.

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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.