Warren Buffett's Berkshire Hathaway (BRK.A) (BRK.B) on Tuesday dropped its stake in General Electric (GE) and acquired a position in Synchrony Financial (SYF) , the credit-card lender GE spun off in 2014.

Prior to the end of March, Berkshire held more than 10 million GE shares, worth a total $315.4 million.

Its new $520.7 million in Synchrony position sent shares of the lender higher over 4.4% during afternoon trading on Tuesday.

Bank stocks, in general, have also responded well to the stake purchased today by Berkshire.

The Financial Select Sector SPDR Fund (XLF) , a fund tracking firms among the financial services sector, were rising during Tuesday afternoon trading.

Shares of major Wall Street banks including JPMorgan (JPM) , Goldman Sachs (GS) , Wells Fargo (WFC) , Bank of America (BAC) , and Morgan Stanley (MS) were all also rising in afternoon trading.

Buffett's Berkshire currently maintains a position in both Bank of America and Goldman Sachs.

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