Financial sector stocks have strung together a few good days lately. This has caused some to wonder whether the sector is finally breaking out of its funk of underperforming the overall market. This isn't the first time the sector has popped on a relative basis in the last few months, though. Since the most recent leg of the rally began in September, there have now been three periods where the Financial sector outperformed the S&P 500 for a few days. In the prior two periods, the sector quickly reverted to its longer term trend of underperformance. Will the third time be the charm?
Friday, December 10, 2010
"Financial Rally: Third Time the Charm?" (XLF; FAS; FAZ; BAC; C; GS; JPM; MS; WFC)
From Bespoke Investment Group: