Bank stocks enjoyed a broad rally Monday, supported by a jump in longer-term Treasury yields. The SPDR S&P Bank ETF (KBE) rose 3.0% and the SPDR Financial Select Sector ETF (XLF) advanced 1.5%, while the Dow Jones Industrial Average rose 7 points, or less than 0.1%. Among the more active bank shares, Bank of America Corp. (BAC) gained 3.3%, Citigroup Inc. (C) rose 4.4%, Wells Fargo & Co. (WFC) advanced 2.5%, J.P. Morgan Chase & Co. (JPM) climbed 2.7%, KeyCorp (KEY) hiked up 4.1% and Regions Financial Corp. (RF) gained 4.1%. Meanwhile, the yield on the 10-year Treasury note rose 6.1 basis points to 1.611%. A rise in longer-term yields can help boost bank profits, as it can widen the spread on what banks earn as they fund on longer-term assets, such as loans, with short-term liabilities.
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
September 09, 2019 14:26 ET (18:26 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.