To get a feel for how confused markets are these days, consider this morning:
Retail sales, two important regional manufacturing surveys, and jobless claims were released and, suffice to say, retail sales and manufacturing knocked it out of the park. Initial jobless claims even, while still an ominous 576k, were a net positive -- as expectations were for 700k. The financial space (BofA, Citi, Wells and Blackrock) saw a slew of earnings releases that all destroyed expectations...
On that kind of news you'd expect bonds to be reeling (interest rates to be rising) and bank stocks to be screaming higher.
Well, here's the 10-year treasury yield this morning:
And here's the bank index ETF (this morning circled in red):
"An abnormal reaction to an abnormal situation is normal behavior."