Bank Stock Roundup: Positive Development On Trade Front, WFC, JPM & PNC In Focus
Zacks Investment Research | Dec 19, 2019 08:55PM ET
Performance of major bank stocks has been promising over the last five trading sessions. Positive developments on several fronts including the U.S.-China trade conflict and Brexit boosted the stocks.
Also, this resulted in a rise in treasury yields and widening of the spread between long- and short-term rates. Banks will, thus, gain from higher market interest rates as widening spread will support net interest margin – the key indicator of a bank’s profitability.
With expectations of continuation of these favorable developments next year as well, investors were somewhat bullish on bank stocks.
Talking about company-specific headlines, banks continued with their efforts to resolve legacy legal matters. Further, banks are undertaking measures to expand globally and diversify revenues.
(Read: Zacks Investment Research
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.