All of equity market sectors the financial sector seems to have benefited the most since Donald Trump was elected President back on November 8th. Note on the price chart below that as of mid-day today the Financial Select Sector SPDR Fund (XLF) is up about 19% since election day.
Apparently one trader expects this bull run for XLF to continue into the new year. This morning, less than 90 minutes into the trading day, there was a buyer of 250,000 XLF Jan 20th 25 Calls for 0.13. This occurred when the fund was 23.54. So far things are looking good for this trade as while I’m writing this XLF is at 23.84 and those 25 Calls are bid at 0.21.
As always, this is an analysis, not a trade recommendation.