Churning financial markets, as the failure of three U.S. banks and uncertainty over one big European one continues to play out, did not stop some investors from buying that so-called dip in the stock market at one point last week.
That’s according to a weekly report released Friday from Vanda Research, which said retail investors picked up $1.43 billion in underperforming financial and energy stocks, as well as some big-cap consumer tech names on Wednesday, following two weeks of sluggish action.
Amid concerns over the health of smaller lenders, they bought “unprecedented amounts” of too-big-to-fail banks, amounting to to nearly $1 billion of retail inflows to financials over the past five days. Vanda’s chart shows the last five day’s net purchases with financials standing out:
Marco Iachini, senior vice president, Giancomo Pierantoni, head of data and Lucas Mantle, data science analyst at Vanda, said Charles Schwab
SCHW,
-2.54%
saw the second-most inflows following Bank of America over the past week.
“Some adventurers” were buying First Republic Bank ,
FRC,
-32.80%
PacWest Bancorp
PACW,
-18.95%
and Truist Financials
TFC,
-7.23%,
which they described as “riskier bets that could potentially offer massive…
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