The financial sector was the best performing of the S&P 500 /zigman2/quotes/210599714/realtime SPX -1.89% 11 stock sectors Friday, after upbeat economic data pushed Treasury yields higher. The SPDR Financial Select Sector ETF /zigman2/quotes/209660484/composite XLF -2.05% rallied 1.2% in afternoon trading, with 61 of 65 equity components trading higher, while the S&P 500 edged up 0.3%. Among the ETFs top holdings, shares of Berkshire Hathaway Inc. /zigman2/quotes/200060694/composite BRK.B -1.86% tacked on 0.8%, J.P. Morgan Chase & Co. /zigman2/quotes/205971034/composite JPM -1.75% gained 1.0%, Bank of America Corp. /zigman2/quotes/200894270/composite BAC -1.81% advanced 2.1%, Wells Fargo & Co. /zigman2/quotes/203790192/composite WFC -2.42% climbed 2.8% and Citigroup Inc. /zigman2/quotes/207741460/composite C -1.85% edged up 0.4%. The sector's rally comes as the yield on the 10-year Treasury note /zigman2/quotes/211347051/realtime BX:TMUBMUSD10Y +0.76% rose 5.4 basis points to 1.541% after data showing the Federal Reserve's preferred measure of inflation in May marked a third straight big increase. Bank profits can benefit from higher longer-term interest rates, because that can increase the spread between what banks earn on longer-term assets, such as loans, that are funded by shorter-term liabilities.