Mick... xlf ain't goin' anywhere buddy.
You are right in that its neither bearish or bullish... that's because most bank stocks are dirt cheap. There's a reason for that. Yeah, if we get a vaccine tomorrow they'll turn... but dude... banks make money lending to small businesses and average Joes. The next two months is anybody's guess. The 30 year fixed is at just over 3%. Interest rates are staying low for as far as the eye can see; that, and banks aren't going to loan money to people based on their $600/month unemployment checks.
We'll get a pop when Congress extends the aid, the markets love news. The day that's announced and ES jumps 2%... I'd short the friggin farm. Because its not based on anything but news. There's real problems coming down the pike. The next two months are gonna be ugly. No schools, no jobs, no daycare, and possibly no aid. We're talking real people with real lives. There are stocks that will go up, but bank stocks aren't one of them. Pfff.... all those beautiful B&M primo real-estate buildings and all that over-head.... Dimon knows... there's a huge contraction coming. Things are gonna get ugly.
