SPDR S&P 500 ETF (NYSEArca: SPY) was set for a nearly 1% rise at Wednesday’s open as an $8.5 billion mortgage settlement from Bank of America (NYSE: BAC) boosted the financial sector.
Volatility-linked exchange traded funds fell, meanwhile, on expectations austerity measures will pass in Greece and help relieve debt tensions in Europe.
VelocityShares Daily 2X VIX Short-Term ETN (NYSEArca: TVIX) was down nearly 5% in premarket trading Wednesday. The leveraged exchange traded note is designed to track futures contracts on the CBOE Volatility Index. When the ETN trades lower, it suggests investors are less fearful.
A financial sector ETF rallied more than 1% on news Bank of America has reached an agreement to repurchase mortgage-backed securities packaged by Countrywide Financial. B. of A. shares added 5% on hopes the deal will take away a key overhang on the stock. In other large-cap bank shares, Citigroup (NYSE: C) rose 2%, JP Morgan (NYSE: JPM) gained 1.5% and Wells Fargo (NYSE: WFC) climbed 2.4% before the opening bell. [Financial ETF Jumps]
Precious metals ETFs rose Wednesday with all eyes on the Greek vote. [Gold, Silver ETFs Higher]
SPDR S&P 500 ETF
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