Markets End Worst Week in Four Months With Mixed Day
- 12 years ago
U.S. stocks wrapped up their worst week in four months, led lower on Friday by financial shares as results from Wells Fargo and JPMorgan ignited concerns about shrinking profit margins for big lenders.
Shares of Wells Fargo fell 2.6 percent to $34.25 (USD) and JPMorgan Chase & Co lost 1.1 percent to $41.62 (USD) as concerns grew over their lower net interest margin - the difference between what a bank pays on deposits and what it makes on loans - which could narrow further as the Federal Reserve keeps interest rates near zero.
The lackluster market reaction came even though both Wells Fargo and JPMorgan, the two largest U.S. financial stocks by market value, reported record profits.
Shares of Wells Fargo fell 2.6 percent to $34.25 (USD) and JPMorgan Chase & Co lost 1.1 percent to $41.62 (USD) as concerns grew over their lower net interest margin - the difference between what a bank pays on deposits and what it makes on loans - which could narrow further as the Federal Reserve keeps interest rates near zero.
The lackluster market reaction came even though both Wells Fargo and JPMorgan, the two largest U.S. financial stocks by market value, reported record profits.