As the market sorts out who will benefit and who will not during a Donald Trump administration, count one in the winner's bracket: banks.
Despite getting little Wall Street cash during the election, Trump already is being perceived as friendly to the $15 trillion banking industry. He has promised a rollback in regulation, and traders quickly interpreted his win as leading to the higher interest rates that banks like.
The result was a gain exceeding 4 percent for bank stocks as a whole (as measured by the KBW Bank Index) and optimism that the good times were just starting.
"This is a grand slam home run for the industry," Dick Bove, vice president of equity research at Rafferty Capital Markets, said in an interview.
Bove sees benefits to banks from three angles: legislative, regulatory and economic. Banks are likely to see key measures passed in Congress, regulatory measures rolled back and an inflow of cash to the financial system.