The companies that supply parts and equipment to commercial airlines, the military, and the exchange traded funds (ETFs) that cover them, are getting a boost from the more demanding global clientele, reports Vance Cariaga at Investor’s Business Daily.
U.S. carriers are prettying up their carriers with roomier cabins, wider seats and more entertainment centers. The companies that supply the equipment not only reach out to commercial airlines, but to the military as well – and we all know there has been an increase in defense spending lately. Thanks to the efforts, two ETFs are – ahem, pardon the pun – taking off quite nicely:
- iShares Dow Jones US Aerospace & Defense (ITA), up 30.2% year-to-date
- PowerShares Aerospace & Defense (PPA), up 24.8% year-to-date
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.