After the morning's trading, the Nasdaq has declined 0.4%, the S&P 500 has been relatively flat and the Dow has decreased 0.1%. The financial sector is the category of stocks containing firms that provide financial services to commercial and retail customers. This sector includes banks, investment funds, insurance companies and real estate. Financial services perform best in low interest rate environments. A large portion of this sector generates revenue from mortgages and loans, which gain value as interest rates drop. Furthermore, when the business cycle is in an upswing, the financial sector benefits from additional investments. Improved economic conditions usually lead to more capital projects and increased personal investing. New projects require financing, which usually leads to a larger number of loans.
While the market overall has shown little change, the Financial sector (XLF) is up 0.6% and its current biggest movers are:
|Company||Market Cap||Percentage Change|
|NYSE (NYSE:NYX)||$5.84 billion||+32.7%|
|Disco (NYSE:DFS)||$20.07 billion||-4.4%|
|iShares Silver Trust (NYSE:SLV)||$9.87 billion||-4.4%|
|CBOE Holdings (Nasdaq:CBOE)||$2.58 billion||+4.3%|
|ProLogis (NYSE:PLD)||$16.43 billion||+2.7%|
|CME (Nasdaq:CME)||$17.55 billion||-2.6%|
|Lazard (NYSE:LAZ)||$3.96 billion||-2.3%|
NYSE (NYSE:NYX) rose a significant 32.7% to reach $31.92 per share. The company is currently trading a volume of 49 million shares.
Disco (NYSE:DFS) has decreased to $38.01 per share, a 4.4% fall. At 6.4 million shares, the company's volume so far today is 1.3 times the average daily volume.
iShares Silver Trust (NYSE:SLV) has fallen 4.4% and is currently trading at $28.80 per share. The company is trading at a volume of 18.5 million shares. Yesterday's volume was only 12.9 million shares.
CBOE Holdings (Nasdaq:CBOE) is currently trading at $30.79 per share, a 4.3% increase. The company's volume is currently 649,913 shares for the day, 1.2 times the current three-month average.
ProLogis (NYSE:PLD) has increased to a share price of $36.62, a 2.7% rise. So far today, the company's volume is 1.2 million shares.
Slipping 2.6%, CME (Nasdaq:CME) is currently trading at $51.27 per share. At 2.2 million shares, the company's volume so far today is 0.7 times the average daily volume.
Currently trading at $30.75 per share, Lazard (NYSE:LAZ) has fallen 2.3%. The company's volume is currently 128,400 shares. At this rate, trading activity will likely be down from yesterday when 1.1 million shares changed hands.
The Bottom Line No matter the economic climate, Wall Street will always have stocks that make major moves each week. Daily stock performance should be weighed against historical performance and put in context of the market overall. Keep in mind that all these ratios should be compared against historical numbers and industry information in order to get a more complete picture.