Are my quotes wrong or is the BANK down 1.12% and the XLF up .75%? Never seen this divergence before.
Happens all the time. Different types of banks make them up: here's the $bank: http://dynamic.nasdaq.com/dynamic/bank_1.stm Whereas here's more than half of what makes up XLF: Name Weight Shares Held Jpmorgan Chase & Co 11.60% 18,639,068 Bank Of America Corporation 11.12% 47,000,640 Wells Fargo & Co New 9.73% 24,175,262 Goldman Sachs Group Inc 5.83% 2,431,507 Citigroup Inc 4.68% 92,230,190 American Express Co 3.26% 5,624,182 Us Bancorp Del 3.07% 9,045,048 Morgan Stanley 2.88% 6,429,420 Bank Of New York Mellon Cor 2.31% 5,695,353 Metlife Inc 2.08% 3,872,433 XLF is most of your major banks, whereas the $BANK is a broad spectrum including alot of smaller banks. There's also SEF, which is short alot of the majors: JPMorgan Chase & Co. 9.67% Bank of America Corp. 8.21% Wells Fargo & Co. 7.01% Goldman Sachs Group Inc. 4.46% Citigroup Inc. 4.12% U.S. Bancorp 2.34% Morgan Stanley 2.15% American Express Co. 2.00% Bank of New York Mellon Corp. 1.94% VISA Inc. Cl A 1.78% Since the Nasdaq tends to be a leader, many will use the $BANK index as an indicator for the broad markets. I like to keep both up on radar.