1.- ENERGY AND FOSSIL FUELS
ETFs: SPDR S&P Oil & Gas Equipment & Services (XES) y SPDR S&P Oil & Gas Exploration & Product (XOP).
The Trump administration boosted the energy and fossil fuel sector through deregulation policies, eliminating environmental restrictions. This approach favored companies like ExxonMobil and Chevron, facilitating oil and gas exploration and production. Furthermore, support for the use of coal temporarily strengthened this traditional industry in the US.
In the following graph we see how the
2.- FINANCIAL SECTOR
ETFs: SPDR S&P U.S. Financial Selector Sector (SXLF), SPDR S&P Banks (KBE)
The Trump administration relaxed the Dodd-Frank Act, easing banking restrictions after the 2008 crisis, allowing banks to operate more freely and increase profitability. Additionally, lower corporate taxes improved profit margins for financial institutions, benefiting shareholders and spurring growth in loans.
In the following graph we see how the KBE also shows us a strong rise after knowing the result of the elections, generating new historical highs, now the first resistance is at 61.67 dollars, if it is overcome, it can go to 73. 22.
3.- CONSTRUCTION AND INFRASTRUCTURE INDUSTRY
ETFs: iShares US Basic Materials (IYM), SPDR S&P Homebuilders (XHB)
The Trump administration boosted the infrastructure sector by proposing ambitious investment plans, generating positive expectations for construction, engineering and heavy machinery companies. Although not all of them materialized, the corporate tax cut provided these companies with greater resources, favoring their expansion and stimulating the growth of the sector in general.
In the following graph we see how the IYM also shows us a slight rise after knowing the result of the elections, having left support at 145.10 dollars, which indicates that it is very likely heading towards 153.54.
4.- DEFENSE AND SECURITY SECTOR.
ETFs: iShares US Aerospace & Defense (ITA), iShares US Aerospace & Defense (XAR).
The Trump administration increased the defense budget, benefiting contractors such as Lockheed Martin, Boeing, Northrop Grumman and Raytheon. His “America First” policy and a strong foreign stance created a favorable environment for the military industry, driving demand for defense technologies and products in the US market.
In the following graph we see how the ITA It also shows a clear rise after knowing the results of the electionshaving left support at $144.46, which tells us that it will most likely head towards $159.97.
5.- TECHNOLOGY.
ETFs: SPDR S&P U.S. Tech Select Sector (SXLK)
Trump’s tax reform made it easier for tech giants like Apple, Google and Microsoft to repatriate capital at lower tax rates, strengthening their financial position. Furthermore, despite increased antitrust scrutiny, the administration avoided significant restrictive measures, allowing these companies to expand without strict government interventions.
In the following graph we see how the SXLK shows us that after a consolidation phaseis breaking a triangle upwards, breaking $120.30 would increase the chances of further increases to $126.79.
6.- AGRICULTURAL INDUSTRY AND MANUFACTURING.
ETFs: iShares Agribusiness (SPAGA)
Trump’s trade policy with China included agreements to increase purchases of agricultural and manufactured products from the United States. In addition, the renegotiation of NAFTA, now USMCA, favored local manufacturing. During tariff tensionsthe administration provided agricultural subsidies, supporting farmers in key states to mitigate the impact.
In the case of this sector, We have seen that it has suffered a lot, a good recovery warning would be to exceed $3,769but as long as it does not do so here I would be more cautious, since it is the weakest sector of all those analyzed.
7.- HEALTH SECTOR (PHARMACEUTICAL AND BIOTECHNOLOGICAL)
ETFs: SPDR U.S. Health Care Select Sector (SXLV)
The Trump administration pushed for deregulation at the FDA, accelerating the approval of treatments and medicationswhich benefited pharmaceutical and biotechnology companies. In addition, it promoted innovation in biotechnology, supporting the development of new treatments despite pressure to reduce costs, creating a favorable environment for the sector.
The health care sector that we can analyze through the ETF with Ticker SVLV, is in a short-term corrective phaseafter having risen a lot since October 2023, to think positively again, we should see at least a daily close above $46, while it does not do so, it is better to focus on other sectors that we have seen that are more strong.
*In both the ETFs and the individual shares that make up said ETFs, you can invest in IG, in some cases with barrier options.