Poor Fundamentals Drag Down Oil Etfs | Etf Trends

Brent crud oil futures were hovering around $102.2 per barrel and WTI crude oil was trading at $96.1 per barrel on Thursday. Oil futures took a hit earlier this week after the International Energy Agency projected lower oil demand for 2014, pointing to lower-than-expected second quarter growth in developed economies and a decline in Chinese inventories, the Wall Street Journal reports. Market observers pointed out that cargoes of West African crude had trouble finding buyers in Europe and the U.S., a sign of diminished demand. Its a well-supplied market at this stage of the game, Roland Austrup, chief executive of Integrated Managed Futures Corp, said in the article. Supply does not seem to be an issue. Libyas Ras Lanuf terminal opened its ports for oil shipments Wednesday. Fighting in Iraq have been far away from the oil fields. Additionally, Western sanctions on Russia have largely avoided the large oil sector. [ Brent Oil ETF Faces Headwinds ] North Sea Brent Crude, a type of oil used as a benchmark for prices in European, African and Middle Eastern oil exports, have largely shrugged off tensions in the Middle East and Ukraine. BNO declined 0.5% over the past week, whereas USO has gained 0.2%. Goldman Sachs economists Michael Cahill and David Mericle argue that it will take more serious conflicts to push up volatility in the energy markets, CNBC reports. http://www.etftrends.com/2014/08/poor-fundamentals-drag-down-oil-etfs/?utm_source=iContact&utm_medium=email&utm_campaign=ETF%20Trends&utm_content=

China ETFs Tracking FTSE Indices Top $20B in AUM | ETF Trends

Among the largest constituents of the index are Ping An Insurance, China Vanke and Gree Electric Appliances. FTSE is a leading provider of China-focused indices with ETFs tracking the FTSE China Index Series accounting for over $18 billion AUM, as at 31 this site December 2013, according to the index provider. Chinese equities represent an increasingly important part of the global equity investment landscape. We are delighted that market participants are attracted to our established track record in the region, and as Chinas markets continue to become more accessible for foreign investors, we will aim to provide further transparent and flexible benchmarks, said FTSE Group CEO Mark Makepeace in the statement. In June, FTSE introduced a series of indices that will allow market participants to include China A-shares in global indices at a time of their choosing. The new offerings from FTSE could help global investors prepare for the possible inclusion of Chinas A-shares in global benchmarks in the coming years. In addition to FXI, over 100 U.S. http://www.etftrends.com/2014/08/china-etfs-tracking-ftse-indices-top-20b-in-aum/?utm_source=iContact&utm_medium=email&utm_campaign=ETF%20Trends&utm_content=

Stagnate Growth Has Europe ETFs Lagging | ETF Trends

The euro zone will probably remain stuck in stop-and-go mode, said Peter Vanden Houte, an economist at ING, said in a note. Germany, which provides about 30% of the Eurozones output, contracted 0.2% over the second quarter, its first contraction since the end of 2012, the Financial Times reports. [ Germany, France ETFs Fall Into A Market Correction ] Additionally, France experienced zero growth and Italy fell back into a recession, its third since 2008. and Switzerland. Year-to-date, EZU decreased 4.0% and FEZ fell 3.2%. [ Troubling Signs for a Europe ETF ] Meanwhile, Eurostat confirmed that inflation dipped to a four-and-a-half-year low of 0.4% in July, compared to the European Central Banks 2% target, which is fueling calls for increased monetary easing and stimulus. http://www.etftrends.com/2014/08/stagnate-growth-has-europe-etfs-lagging/?utm_source=iContact&utm_medium=email&utm_campaign=ETF%20Trends&utm_content=

3 Yield-Generating, Utilities ETFs for Volatile Times | ETF Trends

Given the increased geopolitical uncertainty in eastern Europe and the Middle East, utility stocks steady influence on a portfolio could provide investors with a source of stability, writes John Prestbo for MarketWatch . Specifically, Prestbo points out that XLU showed a 32.8% correlation to the S&P 500 so far this year, while VPU showed a 37.6% correlation and IDU had a 35.3% correlation. XLU is the largest sector-focused ETF, with $6.1 billion in assets under management, but it is less diversified with 32 stock holdings. In comparison, the $1.8 billion VPU has 79 components and the $1.1 billion IDU tracks 63 stocks. The Vanguard offering is the cheapest of the group, with a 0.14% expense ratio. In comparison, XLU has a 0.16% expense ratio and IDU has a 0.46% expense ratio. Additionally, investors will also enjoy decent yields as well. For instance, XLU has a 3.57% 12-month yield, VPU has a 3.44% 12-month yield and IDU has a 3.13% 12-month yield. http://www.etftrends.com/2014/08/3-yield-generating-utilities-etfs-for-volatile-times/?utm_source=iContact&utm_medium=email&utm_campaign=ETF%20Trends&utm_content=