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Big Banks bounce back ‘with a bang’

BROOKE CORTE

An astonishing two-day rally has seen $31 billion added to the combined value of the Big Four Banks in what some analysts have called a ‘catch-up rally’.

The market closed down slightly on Wednesday but not after three of the four big banks reach double-digit intraday gains before tapering off slightly at the bells.

Westpac advanced 8 per cent to $17.61, NAB firmed 7.8 per cent to $17.94 and ANZ climbed 8.6 per cent to $17.94, Commonwealth Bank rose 4.9 per cent to $64.30.

Romano Sala Tenna from Katana Asset Management has been bullish on the banks and tells Brooke Corte that even he was surprised by the scale and speed of the rally.

“We still think there is a lot more to come,”

“I think what it does shoe emphatically is that there is a change in sentiment and a change in trend, and big changes in big trends always happen with a bang,”

“Prior to today, the banks were down an average of 40% against a market which is only down around 21%, so the bank sector had the sell down and hadn’t bounced at all, and that was one of the key reasons why we thought it was due a bounce,”

Click play to hear the full interview between Brooke Corte and Romano Sala Tenna:

BROOKE CORTE
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