We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
4 Sector ETFs & Stocks to Gain Despite Lower-Than -Expected Inflation
Read MoreHide Full Article
U.S. consumer prices increased 0.3% sequentially in September 2025, easing slightly from August’s 0.4% gain and just below economists' expectations of 0.4% growth, per tradingeconomics. Energy costs climbed 1.5%, led by a 4.1% jump in gasoline, while food prices increased 0.2%.
Core consumer price index, which bars food and energy, gained 0.2%, just below August's clip and slightly below the forecast of 0.3% growth. The consumer price index logged an annual rise of 3%, less than economists’ expectation.
Against this backdrop, we have highlighted below a few sector-based exchange-traded funds (ETFs) that may gain in the near term.
Revenues of energy stocks are tied to energy prices, a key component of inflation indices. This time, too, the rise in oil prices increased inflation. Oil prices have risen lately on various factors. Monthly inflation of the energy was 1.5% in September and annual inflation was 2.8%.
As far as essential energy stocks are concerned, Murphy USA (MUSA - Free Report) , with a Zacks Rank #3 (Hold), appears to be a good bet. It is a leading independent retailer of motor fuel and convenience merchandise in the United States.
The food-away-from-home index rose 0.1% in September. The index for limited-service meals gained 0.2% over the month, while the index for full-service meals was unchanged. Annually food-away-from-home index grew 3.7%, while the food-at-home index was up 2.7%.
The fund (EATZ - Free Report) is an actively managed exchange-traded fund that seeks to achieve its investment objective by investing at least 80% of its net assets in securities of companies that derive at least 50% of their net revenues from the restaurant business.
As far as important stocks are concerned, Red Robin Gourmet Burgers (RRGB - Free Report) , sporting a Zacks Rank #1 (Strong Buy) at present, may be played. It is a full-service casual dining restaurant chain serving an assorted range of burgers.
Healthcare – Health Care Select Sector SPDR ETF (XLV - Free Report)
The index for Medical Care services rose 3.9% annually in September and 0.3% sequentially.
The underlying Health Care Select Sector Index of the fund (XLV - Free Report) includes companies from the following industries — pharmaceuticals; health care providers & services; health care equipment & supplies; biotechnology; life sciences tools & services; and health care technology.
Universal Health Services (UHS - Free Report) , which has a Zacks Rank #2 (Buy), deserves a mention. It owns and operates (through its subsidiaries) acute care hospitals, behavioral health centers, surgical hospitals, ambulatory surgery centers and radiation oncology centers.
The transportation index jumped 0.3% sequentially in September and rose 2.5% year over year.
The fund (XTN - Free Report) tracks the S&P Transportation Select Industry Index, which represents the transportation segment of the S&P Total Market Index. The fund has a Zacks ETF Rank #3.
As far as important stocks are concerned, Delta Air Lines (DAL - Free Report) , with a Zacks Rank #2, may be played. It is one of the four carriers that together make up 60% of the United States aviation market.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
4 Sector ETFs & Stocks to Gain Despite Lower-Than -Expected Inflation
U.S. consumer prices increased 0.3% sequentially in September 2025, easing slightly from August’s 0.4% gain and just below economists' expectations of 0.4% growth, per tradingeconomics. Energy costs climbed 1.5%, led by a 4.1% jump in gasoline, while food prices increased 0.2%.
Core consumer price index, which bars food and energy, gained 0.2%, just below August's clip and slightly below the forecast of 0.3% growth. The consumer price index logged an annual rise of 3%, less than economists’ expectation.
Against this backdrop, we have highlighted below a few sector-based exchange-traded funds (ETFs) that may gain in the near term.
Sector ETFs & Stocks to Gain
Energy – VanEck Oil Services ETF (OIH - Free Report)
Revenues of energy stocks are tied to energy prices, a key component of inflation indices. This time, too, the rise in oil prices increased inflation. Oil prices have risen lately on various factors. Monthly inflation of the energy was 1.5% in September and annual inflation was 2.8%.
The underlying MVIS U.S. Listed Oil Services 25 Index of the ETF (OIH - Free Report) seeks to track the performance of U.S.-listed companies involved in providing oil services to the upstream oil sector, including oil equipment, oil services or oil drilling, per the issuer.
As far as essential energy stocks are concerned, Murphy USA (MUSA - Free Report) , with a Zacks Rank #3 (Hold), appears to be a good bet. It is a leading independent retailer of motor fuel and convenience merchandise in the United States.
Restaurants – AdvisorShares Restaurant ETF (EATZ - Free Report)
The food-away-from-home index rose 0.1% in September. The index for limited-service meals gained 0.2% over the month, while the index for full-service meals was unchanged. Annually food-away-from-home index grew 3.7%, while the food-at-home index was up 2.7%.
The fund (EATZ - Free Report) is an actively managed exchange-traded fund that seeks to achieve its investment objective by investing at least 80% of its net assets in securities of companies that derive at least 50% of their net revenues from the restaurant business.
As far as important stocks are concerned, Red Robin Gourmet Burgers (RRGB - Free Report) , sporting a Zacks Rank #1 (Strong Buy) at present, may be played. It is a full-service casual dining restaurant chain serving an assorted range of burgers.
Healthcare – Health Care Select Sector SPDR ETF (XLV - Free Report)
The index for Medical Care services rose 3.9% annually in September and 0.3% sequentially.
The underlying Health Care Select Sector Index of the fund (XLV - Free Report) includes companies from the following industries — pharmaceuticals; health care providers & services; health care equipment & supplies; biotechnology; life sciences tools & services; and health care technology.
Universal Health Services (UHS - Free Report) , which has a Zacks Rank #2 (Buy), deserves a mention. It owns and operates (through its subsidiaries) acute care hospitals, behavioral health centers, surgical hospitals, ambulatory surgery centers and radiation oncology centers.
Transportation – SPDR S&P Transportation ETF (XTN - Free Report)
The transportation index jumped 0.3% sequentially in September and rose 2.5% year over year.
The fund (XTN - Free Report) tracks the S&P Transportation Select Industry Index, which represents the transportation segment of the S&P Total Market Index. The fund has a Zacks ETF Rank #3.
As far as important stocks are concerned, Delta Air Lines (DAL - Free Report) , with a Zacks Rank #2, may be played. It is one of the four carriers that together make up 60% of the United States aviation market.