2022 has begun on a positive note for the bank stocks. Both the Dow Jones Industrial Average and the S&P 500 closed on new highs on the first day of trading, with the spotlight firmly on banking stocks.
Continuing with the stellar performance of 2021, the KBW Nasdaq Bank Index and the S&P Banks Select Industry Index rallied 2.6% and 2.1%, respectively, during yesterday’s trading session. This seems to be the opportune time to capitalize on the banking industry’s consistently strong performance. So, today, we bring — Northern Trust Corporation NTRS, East West Bancorp EWBC and Webster Financial Corporation WBS — for you to add to your investment portfolio.
Before we discuss these three stocks’ fundamentals and prospects, let’s first understand why investors are bullish on the banking industry and what happened yesterday that led to a further optimistic stance.