ETF Trends
ETF Trends

Exchange traded funds that invest in the U.S. financial sector will see action ramp up Friday as investors key on the jobs report and quarterly earnings from bailed-out insurance giant American International Group (NYSE: AIG).

AIG after Thursday’s closing bell said its first-quarter earnings fell 85%. The results “ included many items one-time in nature including the major catastrophe losses but offset by strong investment results,” Keefe, Bruyette & Woods analyst Cliff Gallant said in a note.

“We also saw underlying earnings strength at SunAmerica and a better unallocated expense line so we are raising our earnings-per-share estimates and price target, but remain underperform,” Gallant said.

Financial Select Sector SPDR Fund (NYSEArca: XLF), an ETF, is often the most highly traded security in the U.S. It provides investors with liquid exposure to a basket of the largest financial stocks, including banks, insurers and commercial real estate firms.

The ETF has been under pressure following bank earnings and is down about  3% over the past three months.

Financial Select Sector SPDR Fund


The opinions and forecasts expressed herein are solely those of John Spence, 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.