2023-06-06 14:22:59 ET
Regional banking-based exchange traded funds caught a bid and climbed higher on Tuesday afternoon as the funds erased their recent overall May declines.
The popular SPDR S&P Regional Banking ETF ( NYSEARCA: KRE ) and the iShares U.S. Regional Banks ETF ( NYSEARCA: IAT ) both pushed up roughly 5% during Tuesday's trading session which in turn took the funds to their highest point dating back to April 20th and 21st respectively.
Since KRE’s 2023 low point of $34.52 a share which was observed on May 4 th the fund has advanced by 25.1% . Additionally, since the ETF’s May 4 th low it was able to attract $203.55M worth of investor capital along the way as some investors purchased the dip.
Regarding IAT, a similar story played out. IAT bottomed out in 2023 at $28.80 a share also on May 4 th , but has since rallied by 21.4% and grabbed $91.81M worth of net new money during the process.
Moreover, KRE and IAT are not the only two regional bank ETFs that have rallied. Other regional banking funds that are in the green on Tuesday are the Invesco KBW Regional Banking ETF ( NASDAQ: KBWR ) and the leveraged Direxion Daily Regional Banks Bull 3X Shares ( NYSEARCA: DPST ).
Year-to-date price action: KRE -26.2% , IAT -26.8% , KBWR -26.2% , and DPST -71.2% .
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Regional bank ETFs rally, erasing their May losses