As more deals occur in Europe, U.S. banks could feel the pressure on their global business. U.S. banks seeking growth have been on a drive to expand overseas. Earlier this year, Citigroup announced it would buy UK online bank Egg for about $1.1 billion to broaden its reach in the U.K. Citigroup is the number one position in iShares Dow Jones US Financial Services Index (IYG).
IYG reversed in March back into a column of X’s and maintains a demand status. This financial services ETF is trading well above its 50 & 200 day moving averages. [ 50 day $130.54 | 200 day $127.68]
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By DE Smith of MyPortfolioView
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