One sector that has held up very well amid weakness in the overall market is biotech. In fact, ETFs tracking the biotech stocks remain near all-time highs on successful drug trial tests and some investors positioning for deals in the sector.
The investment researcher notes that biotech ETFs were standout performers last week .
“Vertex Pharmaceuticals (NasdaqGS: VRTX), a core holding in four of the funds, rose more than 50% in one day after positive results in a study involving a two-drug therapy it has developed to treat cystic fibrosis, an incurable genetic disease,” it said.
Other sector ETFs include SPDR S&P Biotech ETF (NYSEArca: XBI), First Trust Amex Biotechnology (NYSEArca: FBT) and Market Vectors Biotech ETF (NYSEArca: BBH). [Choosing the Right Biotech ETF Exposure]