FLCA - Rising inflation figures put U.K. and Canada ETFs in focus

Exchange traded funds that focus on both the United Kingdom and Canada moved into the spotlight Wednesday, as the two nations reported higher monthly inflation figures.

In the U.K., CPI Y/Y inflation levels topped 9.4% compared to the previous months figure of 9.1%. Inflation in the U.K. has now hit its highest point since 1982, a fact that has the Bank of England contemplating a 50-basis point rate hike.

The news put focus on U.K.-centered ETFs, such as the iShares MSCI United Kingdom ETF ( NYSEARCA: EWU ), Franklin FTSE United Kingdom ETF ( NYSEARCA: FLGB ) and the First Trust United Kingdom AlphaDEX Fund ( FKU ).

Year-to-date EWU is -11.4% , FLGB is -13.6% , and FKU is lower by 27.8 % .

On the Canadian front, CPI Y/Y inflation levels ratchetted up to 8.1%, surpassing the previous month figure of 7.7%. Canada’s rising prices have now touched highs that it has not experienced since 1983 even after the Bank of Canada raised rates by a full percentage point earlier this month.

Three ETFs worth examining in relation to the latest CPI print are the iShares MSCI Canada ETF ( NYSEARCA: EWC ), Franklin FTSE Canada ETF ( FLCA ), and the JPMorgan BetaBuilders Canada ETF ( BATS: BBCA ).

In 2022, EWC finds itself -12.8% , FLCA trades lower by 11.7% , and BBCA is -13% .

Daily price action: EWU -0.5% , FLGB -0.7% , FKU -0.6 % , EWC -.03% , FLCA -0.2% , and BBCA is -0.4% .

In broader market news, the major stock averages look for clear direction after a broad-based jump in equities in the previous session.

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