Tuesday, October 20, 2009
Relative Weakness in the Financial Sector
Even as we've seen bull highs in the major indexes in recent sessions, bank stocks have sold off notably. Insurance stocks ($KIX) as well remain below their 10/14 highs and, as noted in the earlier post, regional banks are bringing up the rear in relative performance year to date. Of the sectors that I track, the financial group is the only one not in a bullish short-term trending mode. The rebound in the financial sector heralded in the recent bull market; I'm watching to see if its relative weakness is an equal portent.