Financials stocks broke out to records this week for the first time since early June.
The S&P 500 sector rose more than 1% on Wednesday, lifting it to highs, in one of the best performances on Wall Street. It is also the second-best performer for the year, up more than 30%.
A steeping yield curve, which widens banks’ net interest margins, should continue to benefit the group, says Gina Sanchez, CEO of Chantico Global and chief market strategist at Lido Advisors. One name in particular stands out to her.
JPMorgan has climbed 27% in 2021, a slightly slower pace than the broader financials. The stock has also not yet caught up to its own highs, still 4% from its June peak.
“Even though their expectation is that their loan growth may be cautious going forward because of the rate rise expectation, we have seen them…