Dance Until the Music Stops in October

Let's face it, someone's going to be wrong about the banks or the bonds. This curious decoupling we are seeing, where rates continue to go down but banks are breaking out, shouldn't be happening. At least history says it shouldn't. You have to be tempted to short these stocks and bet against the Financial Select Sector SPDR ETF (XLF) breakout if rates aren't going higher, because that means there is even more net interest margin compression ahead and that's been the be-all and end-all for these stocks.