|Bid||0.00 x 800|
|Ask||0.00 x 900|
|Day's Range||50.76 - 53.13|
|52 Week Range||26.38 - 95.94|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||4.24|
|Expense Ratio (net)||1.02%|
Last year, the Federal Reserve raised interest rates four times, but the S&P Regional Banks Select Industry Index (SPSIRBKT), a widely followed gauge of regional bank stocks, plunged 19 percent. In 2018, regional banks ran counter to a historically positive correlation to rising interest rates and Treasury yields as some investors fretted that the positive impact from rising rates was dwindling for bank stocks. “US banks should begin to see less and less benefit to earnings from rising short-term interest rates over the coming quarters,” Fitch Ratings says.
We have highlighted nine ETFs that have piled up exceptional returns to start 2019 and will continue to be investors' darlings provided the sentiments remain the same.
The SPDR S&P Regional Banking ETF (KRE) , the largest regional bank exchange traded fund, just cannot seem to get out of its own way and some investors are not sticking around to see what comes next. Rising interest rates historically benefit regional banks, but that has not been the case this year. Higher interest rates would help widen the difference between what banks charge on loans and pay on deposits, which would boost earnings for the financial sector.
Leveraged exchange traded funds (ETFs) have some nifty tickers . In the case of one leveraged fund, aggressive traders may want to consider doing the opposite of what the ticker implies. With investors ...
Even with the benefit of three interest rate increases by the Federal Reserve, regional bank stocks and exchange traded funds are struggling this year. The iShares U.S. Regional Banks ETF (NYSEArca: IAT), ...
Even with the benefit of three interest rate hikes by the Federal Reserve, moves expected to benefit banking stocks, regional bank equities and the related exchange traded funds are languishing this year. ...
Yesterday, the Federal Reserve confirmed the general consensus by the capital markets that interest rates were likely to rise as Fed Chairman Jerome Powell capped off a two-day monetary policy meeting with the announcement that the federal funds rate would increase by 25 basis points to 2.25. This didn't sit well for banks worried that the increased rates would pare down their lending businesses as the Direxion Daily Regional Bnks Bull 3X ETF (DPST) lost 5.76% to end yesterday's market session. "Banking stocks closed lower on Wednesday after the Federal Reserve raised interest rates a quarter of a point, or 25 basis points, to 2%–2.25%," noted Market Realist's Andrew Brunton in an article.
Large banks with more than $1 trillion in total assets like JP Morgan Chase and Bank of America may typically have their names in lights when looking at the financial sector specifically, but it's been the regional banks that have been the unsung heroes. With this in mind, traders looking to capitalize on this strength in the regional banking sector can look to the Direxion Daily Regional Bnks Bull 3X ETF (DPST) . The disparity between the performance of the overall financial sector versus regional banks can be seen in a comparison of charts for the Financial Select Sector SPDR ETF (XLF) and the SPDR S&P Regional Banking ETF (KRE) .
Second-quarter earnings from the financial services sector started flowing in last week, but that was just the start of the sector's earnings avalanche. Several of the largest U.S. money center banks and asset managers as well as a slew of their smaller counterparts deliver earnings reports this week. The S&P Regional Banks Select Industry Index, one of the most widely followed gauges of regional bank stocks, is up 3.40 percent year-to-date.
The momentum that Wall Street enjoyed last month continues into June. This is especially true as Dow Jones recorded its biggest weekly gain since March to start the month, while S&P 500 and Nasdaq logged their third straight weekly gain. The Dow jumped 2.8% last week while the S&P 500 and the Nasdaq added 1.6% and 1.2%, respectively.Source: Shutterstock
Direxion is one of the largest issuers of leveraged exchange-traded funds (ETFs), those products that have the power to seduce with the potential for outsized short-term gains but can also be ruinous if held for too long.
The financial services sector has had its shares of struggles this year, vexing investors even as interest rates rise and members of the sector report strong earnings. FAS seeks to deliver three time the daily performance of the Russell 1000 Financial Services Index. FAS has a bearish counterpart, the Direxion Daily Financial Bear 3X Shares (FAZ) .
With Treasury yields continuing to flirt with the important 3% area, some rate-sensitive asset classes are benefiting, including regional bank stocks and the related exchange traded funds. The SPDR S&P ...
The SPDR S&P Regional Banking ETF (NYSEArca: KRE), the largest regional bank exchange traded fund, has recently given back the bulk of its 2018 gains, but some analysts remain enthusiastic about the prospects ...
The SPDR S&P Regional Banking ETF (NYSEArca: KRE), the largest regional bank exchange traded fund, is up more than 10% year-to-date and some market observers believe regional bank stocks offer more upside. ...