Infrastructure spending was a major component of the $787 billion stimulus package passed earlier this year, but President Barack Obama says he wants even more. If he gets his wish, it could put some wind in the sails of related exchange traded funds (ETFs).
The White House is coming out in favor of yet more infrastructure spending on roads, bridges, water systems and other projects. [Why government spending didn’t affect projects to begin with.]
Although Obama played devil’s advocate, make no mistake: he wants to spend more on what he deems “worthy projects,” reports Alec MacGillis for The Washington Post.
The White House noted hat most spending so far has gone toward assisting states and paying for social welfare programs. In 2010, look for most of the remaining money to be allocated to building roads, high-speed rail, broadband installations and research at health institutions, reports Jennifer Liberto for CNN Money. [Infrastructure spending roadblocks.]
Many believe that this spending will help create more jobs in the private sector.
For more stories about infrastructure, visit our infrastructure category.
- iShares S&P Global Infrastructure Fund (NYSEArca: IGF): up 18.5% year-to-date
- SPDR FTSE/Macquarie Global Infrastructure 100 (NYSEArca:GII) up 4.9% 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.