Boeing Drags Industrial ETFs on Tariff Concerns

U.S. manufacturers and industrial ETFs were retreating Wednesday as anxious investors worry over the fallout from the Trump administration’s imposed tariffs.

The Industrial Select Sector SPDR (NYSEArca: XLI), the largest exchange traded fund tracking industrial stocks, was 0.8% lower Wednesday. XLI is up 1.9% year-to-date, compared to the S&P 500’s 3.8% gain.

Meanwhile, the ProShares UltraShort Industrials (NYSEArca: SIJ), which tracks the inverse 2x or -200% daily performance of the Dow Jones U.S. Industrials Index, was 0.8% higher on the weakness in the industrials segment.

Boeing (NYSE: BA) was among the worst performers in the industrials sector, falling as much as 4% in early morning trading. BA is the single largest component in XLI at 7.8% of the ETF’s portfolio.