Over the past month, the Financial Select Sector SPDR (XLF) increased 12.1% while the SPDR S&P 500 ETF Trust (SPY) advanced 10.8%. Bank stocks and financial sector-related exchange traded funds are outperforming the broader market in the latest risk-on rebound. We are in this sort of purgatory state,” Steven Chubak, analyst at Wolfe Research, told the WSJ, adding that the rosy situation could reverse if the Fed doesn't successfully handle inflation or triggers a so-called hard landing.