If you’ve been watching the market, and who hasn’t, you can’t miss that bank stocks have been hit hard following the Standard & Poor’s downgrade of U.S. credit.
As of market close on Friday, August 12, US Bancorp (USB) and Huntington Bancshares (HBAN) were both down over 10% from the open on August 5th. Wells Fargo (WFC) and JPMorgan Chase (JPM) declined 8% and 6% respectively. Fifth Third Bancorp (FITB) fell 17% and Citigroup (C) fell by 15%. The biggest drops were Regions Bank (RF) by 21% and SunTrust lost (STI) 18% of its value.
While the broader market took down almost everyone (no, make that everyone) and then began to waver between uncertain gains and losses, key factors led banks to be some of the hardest hit. Here are some reasons why.
The financial reform provisions of the Dodd-Frank Act that are now in place or are being phased in are …
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Nice, up to date article to be sure. Say, the next time something like this happens you be sure to be the first on the block again to write such an in-depth piece on the 10th day after it happens, K? Priceless.