Pursuits
Investors Prove QE3 Skeptics as Discretionary Shares Disappoint
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Investors are proving skeptical that the Federal Reserve’s announcement of additional quantitative easing will get Americans to spend more.
The Consumer Discretionary Select Sector SPDR Fund -- which includes Amazon.com Inc. and Macy’s Inc. --has lagged behind the Consumer Staples Select Sector SPDR Fund by 2.8 percent since Sept. 14, the day after the Fed unveiled plans to buy mortgage-backed securities at a pace of $40 billion a month until the labor market improves. During the preceding six weeks, the discretionary exchange-traded fund outpaced its defensive counterpart, which includes Procter & Gamble Co. and Coca-Cola Co., by 9.2 percent.