On Wednesday, shares of “Home Depot Inc. (NYSE: HD) and Lowe’s Cos. (NYSE: LOW) rallied 2.3 percent and 3.2 percent respectively as hurricane Joaquin’s path came closer to threatening the East Coast. That’s the home improvement retailers’ largest gain in as much as month. Generac Holdings Inc., a portable generator maker, surged 10 percent, its best performance since since February 2014,” according to Bloomberg.
XHB, the homebuilders ETF that tilts more toward the discretionary side of residential real estate, features Home Depot and Lowe’s as its second- and third-largest holdings at a combined weight of 7.7%.
“Joaquin, a Category 1 storm with 85 miles-per-hour winds, is forecast to cross the Bahamas Thursday. If it heads towards the U.S. next, it could cause damage that shores up business for building material producers like Owens Corning (NYSE: OC). That possibility pushed the company’s shares up 4.5 percent Wednesday, its biggest gain since July, tacking on $220 million in market value,” reports Bloomberg.
SPDR S&P Homebuilders ETF
