Two Bank ETFs Looking Bearish (KBE, RKH)

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Financials were under pressure today and the ETF Professor noted some interesting declines in two banking ETFs.

To be sure, a lot of the weakness is found among the regional banks and not surprisingly, the Regional Bank HOLDRs ETF (AMEX: RKH) was down 2.15% today. While J.P. Morgan Chase (NYSE: JPM) accounts for almost 24% of RKH's holdings, there is heavy bias toward more regional names like Wells Fargo (NYSE: WFC), US Bancorp (NYSE: USB) and BB&T (NYSE: BBT).

The SPDR KBW Bank ETF (NYSE: KBE) also features a mix of regional and bigger names and was also down more than 2% today. Options bears made their presence known in KBE, purchasing more than 10,000 March 19 puts.


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