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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