Financial stocks are on the move, but it could be a while before they start to pay off, investors say

New York Stock Exchange building is seen at the Financial District in New York City, United States on March 29, 2020.When cyclicals do well, financials move higher, but don't expect them to outperform or make serious gains until the economy shows real signs of rebounding.

Outside of energy, no major sector has lagged so much this year. The S&P financial sector is down 20%, while the S&P 500 is up nearly 6%. By comparison, tech is up 14%. "I think what banks need is first and foremost they need higher interest rates. The second thing they need is business activity to pick up because they make money on lending and third, they also need people to make their loan payments," said Jonathan Golub, Credit Suisse chief U.S. equities strategist. "Right now, it seems generally people are making their loan payments...

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