After months of being the basement dweller of the S&P 500 sectors, utilities finally had their day.
At the beginning of September, a downbeat jobs report pushed Treasury yields down, giving the sector a needed bounce upward.
But the bounce didn’t last long, and the sector has pulled back slightly.
The S&P 500 Utilities Sector SPDR ETF (NYSE: XLU) — an exchange-traded fund tracking some of the biggest utilities stocks — jumped more than 35% since reaching a low in March 2020.
But it’s still 13.5% off its previous high set back in mid-February 2020.
XLU covers companies like Duke Energy Corp. (NYSE: DUK), WEC Energy Group In. (NYSE: WEC) and Xcel Energy Inc. (NYSE: XEL).
It’s 200-day moving average is still about a $1 above its 50-day moving average. Both of those averages are starting to flatten out — suggesting that 200-day average will remain above the 50-day for the near term.
Utilities ETF Averages Level Out
In this episode of The Bull & The Bear, I’ll talk with Money & Markets Chief Investment Strategist Adam O’Dell and contributor Charles Sizemore about three utilities sector stocks.
We’ll examine what each of these three companies do and how they’ve performed recently.
What’s even better is you’ll get insight on what you should do with these three companies — if you are thinking about buying or already have them in your portfolio.
Remember, knowing the data and the details about a specific company helps you determine whether it is worth investing in.
That’s why we do the work for you by looking that these specific stocks and give our analysis on each one.
The Bull & The Bear
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Until next time…
Research Analyst, Money & Markets
Matt Clark is the research analyst for Money & Markets. He’s the host of our podcast, The Bull & The Bear, as well as the Marijuana Market Update. Before joining the team, he spent 25 years as an investigative journalist and editor — covering everything from politics to business.