Bank of America (BAC): Booking 75% Profit Now, Ready to Reload Later
If you haven't noticed, bank and insurance stocks have started to weaken in recent days.
A key sector fund like the SPDR Financial ETF peaked earlier this month and is now down about 4%. I think there's more to come to the downside.
Which makes this a good time to cash in profits (and standby to reload) on financial stocks like Bank of America (BAC) which I recommended last October - for a gain of more than 70%, or Aflac (AFL), which I recommended last August - for a gain of nearly 50%.
Why sell now? Watch the video and find out!
Hint, hint...as the price of everything from oil to food to lumber takes flight, I think investors are starting to price in the rise of inflation.
That may be bad in the short-term for this sector. But once we get an adequate selloff in coming months, I think it'll be a good time to reload on these and other financial stocks.
Why? Because inflation is helpful to these companies. Owning them offers us a good way to benefit from the rise of this new monetary force in the US and global economy.
Best of Good Buys!