Recent movements in the banking sector indicate a potential shift in economic outlook, with several banks experiencing a significant rally. Notably, regional banks have drawn attention from investors, but some are also attracting bearish bets as earnings reports loom. Major players like Goldman Sachs, JPMorgan, and Morgan Stanley have increased dividends, signaling a bullish outlook for bank stocks. Meanwhile, smaller lenders are also gaining attention, highlighting their potential value in the current market landscape. With dividend hikes of up to 33% following stress tests, investors are weighing their options as the banking industry appears to be in a golden age, despite some stocks possibly being overvalued.