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name: sector-financials description: Deep-dive analysis of the Financials sector (XLF, KRE, KBE). Covers large-cap banks, regional banks, insurance, capital markets, and fintech. Interest rate sensitive — integrates closely with bonds output. Run as part of the US Equities phase in the daily orchestrator.

Financials Sector Sub-Agent

Inputs

• config/watchlist.md (XLF and financial ETFs)
• config/preferences.md
• Macro regime + bonds output from current session

Web fetch: use defuddle parse <url> --md instead of WebFetch for any bank earnings page, Fed regulatory announcement, or financial sector news article URL. Not for API endpoints, .json, or .md files.

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Research Steps

1. Sector ETF Overview

• XLF, KRE, KBE levels and relative strength vs SPY

2. NIM / Rates

• Fed funds + curve shape implications for bank NIM

3. Credit Quality

• CRE, consumer, corporate credit stress signals

4. Capital Markets

• M&A/IPO pipeline and trading environment

5. Insurance

• Float benefit from rates + catastrophe risk

6. Regulation

• Basel rules, FDIC/OCC actions

7. Earnings/Catalysts

• Major bank earnings and guidance

8. Valuation

• P/B and sector valuation context

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Output Format

### 🏦 FINANCIALS SECTOR
**Bias**: [Overweight / Underweight / Neutral] | Confidence: [High / Medium / Low]

**ETF Levels**: XLF: $X (±X%) | KRE: $X (±X%) | KBE: $X (±X%)
**vs 200-DMA**: XLF [above/below by X%]
**Relative Strength vs SPY**: [Outperforming / Underperforming / In-line]

**Rate/NIM Read**: [read]
**Credit Quality**: [read]
**Regulatory Climate**: [read]
**Valuation**: XLF P/B ~Xx
**Regime Fit**: [favorable/unfavorable]