Stocks were strong today as the Senate took steps to advance the tax reform bill. Despite a brief selloff on news of a North Korean missile hitting off the coast of Japan, the markets closed on highs. The Dow 30 added 257, the S&P 500 gained 25, and the Nasdaq 100 added 33 on the day.
Banking stocks were on fire today as a whole, which helped support the overall market rally. Goldman Sachs (NYSE: GS) saw a gain of 1.83% as it continues to hold above its 200-day moving average. Bank of America (NYSE: BAC) was the biggest winner of the group, gaining 3.95%. The stock is now just below record highs, and the bulls seem to be positioning for a move above it.
JP Morgan (NYSE: JPM) and Morgan Stanley (NYSE: MS) also enjoyed 3.50%, and 2.84% gains, respectively. After a few weeks of bucking the markets trend, it seems the bulls feel that financials are a worthwhile investment going forward. A potential interest rate hike in December may be the reason.
Verizon (NYSE: VZ) continued its multi-week rally off lows today, gaining another 2.43%. Since the selloff from the prior earnings, Verizon has recovered more than half, and the stock is higher by over 10% since hitting a low earlier in November. Technical traders will have their eye on the $50 level, as that was a major reversal area.
Macy's (NYSE: M) continues to move off lows on high hopes of the holiday season. The stock was higher today by 4.53% and has now bounced off 52-week lows by 25.55%. But there is still plenty of work to be done, as the stock is still lower on the year by about 40%.