Financial sector (XLF) prospects are more promising today than they've been for a few years,...

|About: Financial Select Sector ... (XLF)|By:, SA News Editor

Financial sector (XLF) prospects are more promising today than they've been for a few years, writes Fidelity's Chris Lee, noting repaired balance sheets, contained expenses, and the housing upturn. Toss in rising interest rates and the potential for accelerating capital returns. Priced in? No, he says, as valuations remain attractive. Offsetting the positive are regulatory concerns, the effect from the end of QE, and a re-bubbling up of EU troubles.