- SPDR Financial Select Sector ETF (XLF) jumped nearly 5% amid optimism of another massive stimulus package after Democrats seized control of the U.S. Senate.
- XLF looks set to continue catching up to S&P 500 (SPY) on rising inflation expectations and bond yields.
- Earnings and dividend growth is expected to turn positive in majority of XLF's top holdings this year.
- Favorable macro environment, improving fundamentals and bargain valuations point to a breakout year in XLF.
For further details see:
XLF: 'Blue Wave' Points To Breakout Rally Ahead In Financial Sector