Financial Sector and Stocks Analysis from Seeking Alpha
Fri, 8 Mar 2013
By Michael Nau : BOFI: A potential 10-bagger Banking is a tough industry to be in right now. Low interest rates often translate into declining net interest income, and many banks like BAC are still dealing with the fallout of the financial crisis both in terms of loan write-offs and litigation. On ...
Low interest rates and an anemic economy will weigh on bank earnings, but much of the bad news is already priced into stocks, says Morningstar's Jim Sinegal.
Bond-fund investors need to focus on duration, credit quality, and relative yields to better understand how much risk they're taking on, says Morningstar's Eric Jacobson.
Although the economy needs to improve before the Fed raises key rates, some dividend payers might act as good hedges amid higher rates, while others have something to lose, says Morningstar's Josh Peters.