Bank stocks inched higher as the broader markets continued their rally in trading Friday, Dec. 9, capping off a week of gains heading into next week's key Federal Reserve interest rate announcement.
The SNL U.S. Bank Index ticked 0.14% higher to 539.83, while the Dow Jones Industrial Average gained 0.72% to 19,756.85, the S&P 500 added 0.59% to 2,259.53 and the Nasdaq composite index increased 0.50% to 5,444.50.
"Ultimately I think investors looking for long-term yields finally stepped into the market," Matthew Shapiro, president of MWS Capital Consultants LLC, said.
Shapiro added that the coming Federal Open Market Committee meeting could spur the "next and very big leg of this bull market" by raising rates, which it is widely expected to do. Combined with expectations for looser regulation from President-elect Donald Trump, Shapiro said energy and financial stocks should be geared up for a "hot" future.
The big banks ended mixed in trading Dec. 9, with JPMorgan Chase & Co. finishing 0.43% higher at $85.49 and Bank of America Corp. gaining 0.61% to $23.09. Citigroup Inc. lost 0.18% to $60.04, and Wells Fargo & Co. declined 0.26% to $57.14.
Shares of First NBC Bank Holding Co. jumped 8.28% to $9.15, as it continues to teeter on news earlier this week that the pressured company's CEO planned to step down. Central Valley Community Bancorp also rose in trading, gaining 7.93% to $19.61 while Allegiance Bancshares Inc. added 5.93% to $33.95. Both Central Valley and Allegiance announced personnel moves within their companies this week.
People's Utah Bancorp slipped 5.34% to $24.80, Midland States Bancorp Inc. lost 5.16% to $32.17 and First of Long Island Corp. declined 3.60% to $28.10.
In thrifts, the SNL U.S. Thrift Index increased 0.41% to 983.00. New York Community Bancorp Inc. fell 0.53% to $17.04.
Market prices and index values are current as of the time of publication and are subject to change.