More than halfway through 2016, investors are likely tired of hearing about the struggles of the financial services sector and the relevant exchange-traded funds. The Financial Select Sector SPDR Fund (NYSE: XLF), the largest ETF tracking the S&P 500's second-largest sector weight, is down 6 percent year-to-date.
Arguably the most obvious issue plaguing XLF and other financial services ETFs is the Federal Reserve's refusal to boost interest rates. However, the Fed recently provided some good news for XLF and friends.
Change On The Horizon
“Direct and indirect investors in bank stocks, which are widely held among various financial ETFs, last week gave shareholders some rare good news for 2016. With the release of the Federal Reserve's Comprehensive Capital Analysis and Review (CCAR), the largest U.S. banks announced higher returns of capital in ...
/www.benzinga.com/trading-ideas/long-ideas/16/07/8186478/financial-services-etfs-searching-for-momentum alt=Financial Services ETFs Searching For Momentum>Full story available on Benzinga.com
More...