Financials led the market in a red-hot rally in August. Two traders are betting on two stocks to continue that run.
Financials led the market in a red-hot rally in August. The sector gained 5% last month, narrowly edging out communications services as the top performer of the S&P 500. «The financials have been incredibly strong. The interest rate situation is very beneficial,» Danielle Shay, director of options at Simpler Trading, told CNBC’s » Trading Nation » on Tuesday. The spread between the U.S.10-year yield and 2-year, which impacts banks’ profitability, has widened to roughly 110 basis points, far higher than a year earlier. «More importantly, companies like JPMorgan and Goldman Sachs… they’ve been doing really well on their investment side.
