On Monday, U.S stock market was down in early trade but later settled attaining minor gains, influenced by the geopolitical issues regarding the propositions of an election victory in Greece by a party disparate to that country’s bailout plan.
The Dow Jones industrial cut down 51 points, or 0.3 percent, to 17,621 as of 9:20 a.m. Central time. The Standard & Poor’s 500 shed five points, or 0.2 percent, to 2,047. The Nasdaq composite tripped 10 points, or 0.2 percent, to 4,748.
Brief Overview on Financial Sector:
While financial stocks of all types have been sheathing the wider market this year, the dilemma of the specialty finance subgroup is for the most part disturbing.
The Dow Jones U.S. customer finance index shows a rather unexpected change in the sector’s fortunes beginning in late December. That abruptly ended the financial sector stirring, which started in late October on news OF the Bank of Japan’s latest incentive plan. Global markets countered with sharp gains.
The same was not true last week after the European incentive plan was exposed. Global markets rallied but consumer finance stocks here vanished ground to highlight the sector’s loss of power. As from a long-term outlook, although the sector made a considerably higher high in December than it did a prior year, its relative performance chart made a lower high. The deviation between price and relative performance is a bearish warning for the sector as price habitually corrects towards its diverging indicator.
Opinion: For financiers looking to stay invested in the stock market, consumer finance is perhaps not the place to be.
Financial stocks were barely elevated, with the NYSE Financial Sector Index mounting up around 0.3% and the S&P Financial 100 Index ahead by around 0.1%.
In company news, Bank of America Corp (NYSE:BAC) increased 0.76% and closed at $15.85 on a traded volume of 69.7million shares, in comparison to 97.12million shares of average trading volume. The Bank of America recently reported net revenue of $3.1 billion, or $0.25 per diluted share, for the fourth quarter of 2014, contrast to $3.4 billion, or $0.29 per diluted share in the year-ago period. Income, net of interest expense, on an FTE basis(B) was $19.0 billion, compared to $21.7 billion in the fourth quarter of 2013.
Bank of America Corp (NYSE:BAC) through its subsidiaries, provides various banking and financial products and services for individual customers, small and middle market businesses, institutional investors, corporations, and governments in the United States and internationally.
Citigroup Inc(NYSE:C) soared 0.56% and closed at $48.89on a traded volume of 13.8million shares, whereas its average trading volume is 21.95 million shares. The Company recently declared introduce of the 11th Citibank University Banking Course (banking course) in joint venture with the University of Hong Kong (HKU), which will run from January to April 2015. The banking course aims to provide participants with an inclusive understanding of how banks operate in today’s world through a series of structured classroom lectures and interactive discussions.
Citigroup Inc(NYSE:C) a diversified financial services holding organization, provides various financial products and services to customers, corporations, governments, and institutions.
Ocwen Financial Corp (NYSE:OCN) jumped up 8.82% and closed at $6.91. So far in three months, the stock is down -64.14%. The Company has responded to a letter from lawyers representing BlueMountain Capital Management, LLC, a purported holder of notes issued by HLSS Servicer Advance Receivables Trust, by addressing the allegations in the letter directly with the indenture trustee, Deutsche Bank National Trust organization. Ocwen intends to vigorously defend itself against the allegations in the letter.
Ocwen Financial Corp (NYSE:OCN) through its subsidiaries, is engaged in the servicing and origination of mortgage loans in the United States and internationally.
MGIC Investment Corp.(NYSE:MTG) after opening its shares at the price of $8.85, jumped up 1.13% to close at $8.98for the day. The company recently reported net revenue for the quarter ended December 31, 2014 of $74.4 million, compared with a net loss of $1.4 million for the same quarter a year ago. Diluted net revenue per share was $0.19 for the quarter ending December 31, 2014, compared to diluted loss per share of $0.00 for the same quarter a year ago. Net revenue for the full year 2014 was $251.9 million, compared with a net loss of $49.8 million for the full year 2013. For the full year 2014, diluted net revenue per share was $0.64 compared to a diluted loss per share of $0.16 for the full year 2013.
MGIC Investment Corp.(NYSE:MTG) through its subsidiaries, provides private mortgage insurance and ancillary services to lenders and government sponsored entities in the United States.
Morgan Stanley (NYSE:MS) remained a bear for the day as it reported the loss momentum of -0.11% and closed at $35.11 after gaining total volume of 9.9 million shares. The company has declared the appointment of 151 Managing Directors. Morgan Stanley is a leading global financial services firm providing a wide range of investment banking, securities, investment administration and wealth administration services. With offices in more than 43 countries, the Firm’s employees serve clients worldwide including corporations, governments, institutions and individuals. For further information about Morgan Stanley, please visit www.morganstanley.com.
Morgan Stanley (NYSE:MS) a financial holding company, provides various financial products and services to corporations, governments, financial institutions, and individuals worldwide.
