U.S. flags hang at the New York Stock Exchange. Photo: Reuters, Andrew Kelly
U.S. flags hang at the New York Stock Exchange. Photo: Reuters, Andrew Kelly

The fluffiest parts of the Trump trade are getting hammered. The S&P bank ETF (ticker KBE) was down about 3% at the New York open.

Banks can’t make money and are becoming less relevant to the US economy. There’s no reason for banks to trade at valuations comparable to 2007.