Market Vectors Coal ETF (KOL) was down more than 5% on Wednesday after President Barack Obama won a second term in the White House.
The selling could reflect traders unwinding positions they had built in coal stocks in anticipation of a Mitt Romney victory in the election.
The coal ETF was one of the top-performing ETFs in the weeks leading up to the election. “I like coal,” Romney said during the first presidential debate. [Coal ETF Rallies]
PowerShares Global Coal ETF (PKOL) also dropped over 5% in afternoon trade Wednesday.
“(The drop is) 100 percent related to election results,” said Eric Green, senior managing partner at Penn Capital Management, in the report.
Market Vectors Coal
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- Politics & Government
- President Barack Obama
- Mitt Romney