Gold Miner, Banking And Spain ETFs To Watch This Week

Last week, the S&P 500 Index was bolstered over 1 percent higher as accommodative language from the Federal Reserve helped restore confidence in risk assets. Moving forward, the fate of the markets may hinge on company earnings announcements, which kick off on Monday with Alcoa.

The week ahead also features the release of December retail sales, latest consumer price index reading and consumer sentiment data.

Here are the key ETFs to watch for the week of Monday, January 12:

Market Vectors Gold Miners GDX

Gold mining stocks are determined to reverse multiple years of misfortune in 2015 by kicking off the New Year on a positive note. GDX has gained more than 12 percent so far this year and hit a three-month high on Friday. This ETF tracks 38 global stock engaged in gold and silver mining efforts.

The catalysts for a continued move higher in GDX may include a weaker U.S. dollar, strength in gold bullion prices, or rotation to a beaten down sector of the market. No matter the case, this ETF bears watching to see if its recent momentum is sustainable for a new uptrend.

SPDR S&P Bank ETF KBE

A number of key banks report earnings this week, including JP Morgan Chase, Bank of America and Wells Fargo. As a result, KBE has the potential to be a fast-moving area of the market. This ETF tracks 64 national and regional banks using a modified equal-weighted methodology.

KBE experienced a volatile 2014 that included vicious price swings in both directions. A positive showing by some of the largest banks in this index may provide confidence for a more established trend to develop this year.

iShares MSCI Spain Capped ETF EWP

Spanish stocks hit a new 52-week low on Friday as this European economy continues to struggle. EWP has $1.4 billion spread amongst 29 large and mid-sized companies. This single-country ETF has lost more than 6 percent in 2015 and is one of the more heavily oversold areas of Europe.

The largest holding in EWP is Banco Santander S.A., which represents 21 percent of the underlying assets. The bank is struggling to boost its capital this year by cutting its dividend and introducing another public share offering.