Can Industrial ETFs Gain Despite Mixed Q1 Earnings?
Zacks Investment Research | May 16, 2021 08:00AM ET
The industrial sector, which faced disruption in global supply chains and factory closedowns, is expected to rebound on recovery from the coronavirus-led slump. The introduction of a coronavirus vaccine and addition of stimulus are expected to drive demand and economic activities in the sector. Moreover, increasing optimism about the space, the United States is now witnessing a decline in daily new coronavirus infection cases.
Moving on, the Fed’s continued dovish stance is increasing chances of faster U.S. economic growth recovery from the coronavirus pandemic-led slowdown. The central bank has decided to maintain rates near zero until 2023, at least. Moreover, the central bank raised its economic growth outlook considering the vaccine and stimulus optimism and it also expects higher inflation this year. Thus, all these factors are creating a favorable environment for players in the space.
Against this backdrop, we take a look at some big industrial earnings releases and see if these can leave an impact on ETFs exposed to the space.
h3 Inside Q1 Earnings/h3On Apr 27, General Electric Company (NYSE:GE)’s Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
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