Among this week’s biggest gainers in financial stocks, three are China-based fintechs that have been helped by a preliminary deal that gives US authorities access to audit those companies. Of the five financial stocks that fell the most this week, three are tech-based mortgage or loan companies, which may lose business as interest rates rise.
Future Holdings (NASDAQ: FUTU), up 21% for the week topped the list of financial stocks with a market cap above $2 billion that climbed the most, followed by Chinese fintech 360 DigiTech (NASDAQ:QFIN), who saw a 14% increase. The two are taking advantage as the threat of a U.S. delisting of their U.S. depositary shares has receded.
Argentinian bank Grupo Financiero Galicia (NASDAQ:GGAL) increased by 12% on weekdays, while Banco Macro (NYSE: BMA), also based in Argentina, saw its ADRs climb 12%.
Lufax completes the top five financial climbers (NYSE: LU), a Shanhai-based fintech that increased by 10%.
On the other hand, the financial stocks that fell the most over the week are all based in the US Rocket Companies (NYSE: RKT), parent of Rocket Mortgage, fell 13% last week.
During the week, mortgage rates climbed to 5.55%, according to Freddie Mac. And interest rates are unlikely to fall as Federal Reserve Chairman Jerome Powell has vowed to keep raising rates and keep them in restrictive territory until the central bank is satisfied. that inflation will decline to its target of 2%.
Upstart Holdings (NASDAQ: UPST), the AI-powered lending platform used by banks and financial institutions, which fell 11%;
Chicken head insurance (NASDAQ: GSHD), a personal lines insurance agency, fell 10%;
UWM Holdings (NYSE: UWMC), also known as United Wholesale Mortgage, slipped 8.9%; and
Risk data firm Dun & Bradstreet (NYSE: DNB) 8.5% dip for the week.
Affirm Holdings (AFRM), which plunged 21% after issuing a disappointing forecast even after its fiscal fourth-quarter earnings beat consensus, was one of the biggest financial losers in Friday’s trading session.