Financials

As mentioned yesterday, any break in the market would likely be led by Financials, that's true of today currently trading at 2x the loss of the S&P (-2%)

 One of the bigger clues was yesterday's refusal to make a higher high with the market and had at least 2 if not 3 opportunities to do so, but couldn't move past the $13.50 area (XLF).

It seemed that with each attempt XLF saw more and more distribution.

Bank earnings have been pretty phony if you read the reports, there have been a variety of accounting tricks to "cook the books". The headline beat may be the knee jerk reaction, but sooner or later those that count, understand what is really in those reports.