Tech ETFs Lead, Resources ETFs Soften
The tech-focused exchange-traded funds
Thursday led their peers while the tradable funds focused on basic industries
weakened.Â
The Internet Infrastructure HOLDR
(
IIH |
Quote |
Chart |
News |
PowerRating)
gained 6.9%, the day’s sharpest gain among the exchange-traded funds. The
Biotech HOLDR
(
BBH |
Quote |
Chart |
News |
PowerRating) rose 4.7%, the Software HOLDR
(
SWH |
Quote |
Chart |
News |
PowerRating) 4.2%, the Nasdaq
Biotechnology iShares
(
IBB |
Quote |
Chart |
News |
PowerRating) 4.1%, the Dow Jones Internet iShares
(
IYV |
Quote |
Chart |
News |
PowerRating)
3.3%, the Nasdaq 100 Tracking Stock
(
QQQ |
Quote |
Chart |
News |
PowerRating) 3.0%, the Internet HOLDR
(
HHH |
Quote |
Chart |
News |
PowerRating)
1.6%.
On the downside, the Dow Jones
Chemical iShares
(
IYD |
Quote |
Chart |
News |
PowerRating) lost 3.1%, the Basic Industries SPDR
(
XLB |
Quote |
Chart |
News |
PowerRating) 2.8%,
the Dow Jones Basic Materials iShares
(
IYM |
Quote |
Chart |
News |
PowerRating) 2.4%.
Exchange-traded
funds combine traits
of stocks and mutual funds. Like mutual funds, an ETF represents diversified
ownership in a number of different stocks, reducing company-specific
risk. Like stocks, ETFs trade on exchanges, nearly all of them in fact trade on
the American Stock Exchange at present. They quote throughout the day, enabling
traders to take advantage of intraday price moves.Â
If you’re new exchange-traded funds,
be sure to visit TradingMarkets’ Knowledge Center,
dedicated to explaining the basics of trading and active investing in ETFs and
mutual funds. Just click on the Funds tab
near the top of this page, then click on the Knowledge
Center tab. You also can find further information, including
component stocks, at the following sites: www.amex.com
(click on the HOLDRS and Exchange-Traded Funds links), www.ishares.com
and www.holdrs.com.
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