The quarterly reports for the big banks were terrible across the board, but stocks are up because the psychology and the method of valuing bank stocks have changed, said Richard Bove, financial strategist at Rochdale Securities.
Despite the tough economic times and increased scrutiny from Washington, banks are keeping most fees at record highs, and are eking out slight increases on others like overdraft charges, the New York Times reports.
Cramer makes the call on viewers' favorite stocks.
Stocks snapped a three-day losing streak Thursdayas a trio of encouraging economic reports — the Philadelphia Federal Reserve's manufacturing report, leading indicators and weekly jobless claims — fueled recovery hopes.
Stocks advanced Thursday as a trio of encouraging economic reports — the Philadelphia Federal Reserve's manufacturing report, leading indicators and weekly jobless claims — fueled recovery hopes.
Stocks advanced Thursday after an encouraging report on manufacturing from the Philadelphia Federal Reserve.
Stocks ended flat Wednesday as tech and consumer stocks rebounded but banks dragged after a credit downgrade on more than a dozen companies.
Stocks ticked higher Wednesday as consumer stocks rebounded after a tame inflation reading but banks still dragged after credit downgrade. FedEx skidded after it issued a weak outlook.
"I think this is probably the March rally beginning to roll over, the question is how much of a correction does it turn into," Cashin told CNBC. "There's going to be a lot of jockeying around in the next few days."
New highs brings little excitement. The S&P 500 and the NASDAQ are sitting at highs for the year, but why doesn't it feel like it? Is it the light volume, the low volatility?
Bank stocks might be volatile, but investors should be exposed to them right now, said David George, senior research analyst at Robert W. Baird.
There is Ally Bank: “A better kind of bank.” And A.I.U.: “A unique franchise.” And — really — Redneck Bank: “Where bankin’s funner!” All are new names and new slogans for old companies with big worries and, in some cases, even bigger image problems.
Plus, Cramer makes the call on steels, coal and more.
April pending home sales of existing homes - which measures contract signings--stronger than expect - April, up 6.7 percent, much better than expectations of a gain of 0.5 percent.
Existing U.S. home sales climbed in April as consumer confidence rose. Reports say GM is close to bankruptcy as tech stocks gain Wednesday. What does this mean for the stock market? Art Cashin, UBS Financial Services director of floor operations, offered CNBC his Wednesday insights.
Stock markets are just at the beginning of a larger rally which could see the major indexes jump another 20-to-30 percent and banks are the best bet, Michael Browne, portfolio manager from Sofaer Global Research, told CNBC.
With its shares up almost 20% from where it priced its massive offering of stock late yesterday, hedge funds that got sizeable allocations of Bank of America shares are crowing, while many accounts that got cut back severely on their requests are cursing.
Plus, Cramer talks tech, restaurants, retail, IPOs and more.
This bank stock holds tremendous upside potential, Cramer says. Much like its predecessor, which did generate that big of a profit for investors.
Stocks capped another strong week with a triple-digit rally Friday as Wall Street breathed a sigh of relief after the stress-test results and banks soared.