Bank of America – Fed Favor in 2015

Federal Reserve Chairwoman Janet Yellen’s testimony this week served as a reminder to Bank of America (NYSE: BAC) investors that Fed favor will fuel BAC over the next few years. The bank’s shares have traded with high sensitivity to the rate outlook, and the Fed continues to work toward increasing rates. BAC shares climbed approximately 1.4% just after Tuesday’s release of Chairwoman Yellen’s prepared statements. BAC closed up 1.1% on the day. It’s my view that as we approach the first Fed rate hike, BAC shares will creep toward $18, where they made their home before last quarter’s earnings report. See my full report on Bank of America here.

DISCLOSURE: Kaminis is long BAC. Please see our disclosures at the Wall Street Greek website and author bio pages found there. This article and website in no way offers or represents financial or investment advice. Information is provided for entertainment purposes only.