This Aerospace ETF Could Take-Off

““According to Michael Jaffe, Group Head of Industrials equity research for S&P Capital IQ, the primary reasons for his team favoring a number of Industrial stocks at this time are that European economies finally seem to be stabilizing after a lengthy downturn, and that business trends in China seem to be bouncing back following a period of sluggishness. In addition, Jaffe sees recovery of housing markets in the U.S.boosting several areas of the Industrial sector, as materials and equipment are needed for both the building of new homes and the renovation of existing homes,” according to a new research note by S&P Capital IQ.  [A Bullish View on Industrial ETFs]

There could be more good news for PPA and rival funds: October, not always the best month of the year for the broader market, is historically kind to industrial stocks.

PowerShares Aerospace & Defense Portfolio

ETF Trends editorial team contributed to this post.