The "volatility curves in the markets right now" indicate that the Federal Reserve "is on hold until March," according to Cronk, but "this report probably brings us back to at least a discussion about December or January" for a possible tapering of bond buying by the Fed.
Banks led the broad market, with the KBW Bank Index (I:BKX) rising 3.4% to close at 65.93, with the 24 index components all rising over 1%.
Big banks seeing shares rise over 4% included Comerica (CMA) of Dallas, closing at $45.15; JPMorgan Chase (JPM), at $53.91, KeyCorp (KEY) of Cleveland, trading for $13.01; SunTrust (STI) of Atlanta, at $35.71; and Zions Bancorporation (ZION) of Salt Lake City, which closed at $29.64.
Shares of Regions Financial of Birmingham, Ala., have returned 38 this year. The shares trade for 1.3 times their reported Sept. 30 tangible book value of $7.32, and for 11.5 times the consensus 2014 earnings estimate of 85 cents, among analysts polled by Thomson Reuters.Please see TheStreet's earnings coverage for details of Regions Financial's third-quarter results. Jefferies analyst Ken Usdin rates Regions a "Buy," with an $11 price target, estimating the company will earn 84 cents a share in 2014, with EPS increasing to 90 cents in 2015. "We continue to like RF given its better near-term and longer-term
Email. Follow @PhilipvanDoorn