Sep
5
Written by:
Arthur Daret
9/5/2008 12:16 PM
Stocks of large money center banks had a good day. Bank of America* (BAC) was +5.3%, Wells Fargo* (WFC) gained 5.16%, and Citigroup* (C) was +4.21%. Smaller regional banks also had a good day. Umpqua Bank* (UMPQ) and BB&T* (BBT) were up 3% and 6%. Many bank stocks reversed off of their lows and closed higher today which is an encouraging sign technically because it shows that bargain hunters and value fund managers are buying. Yesterday, when the down fell, many bank stocks declined on below average volume. Most of the major damage to these stocks was during the middle of July when for all practical purposes, they capitulated (experienced panic selling). Now it's the oil, energy stocks and many emerging markets that are enjoying the declines.
Arthur Daret
* Disclosure: Myself and/or some clients of Daret Capital Management, Inc. own these stocks.
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