Early Monday, analysts at both Keefe Bruyette and Friedman Billings upgraded Wells Fargo to market perform from underperform.
On the home-loan front,
Bank of America
(BAC - Get Report)
announced it would modify about 400,000 mortgages to help borrowers who had taken out loans from
, which BofA acquired on July 1.
(HIG - Get Report)
said it garnered a $2.5 billion investment from
, is reducing its dividend and will register a third-quarter loss.
Money markets were strained.
said three-month Libor, a measure of the cost of borrowing among banks, was at 4.29%, near a high last seen in January. Overnight Libor climbed to 2.37% from 2% Friday.
Outside the financials,
agreed to a merger with
Among technology stocks,
online auctioneer eBay
(EBAY - Get Report)
said it would be cutting its staff by 10% and would buy online payment processor Bill Me Later.
Breadth was frightful. Decliners were trouncing advancers 32-to-1 on the
New York Stock Exchange
. On the Nasdaq, decliners were beating advancers 11-to-1.
In the commodities space, the price of crude oil was down $4.49 to $89.39 a barrel, and gold climbed $33 to settle at $866.20 an ounce.
Longer-term U.S. Treasury securities were climbing in price. The 10-year was up 1-8/32 to yield 3.45%, and the 30-year was climbing 2-18/32, yielding 3.95%.
Overseas markets were broadly falling. The FTSE in London and the Dax in Frankfurt were each down more than 7%.
, including Japan's Nikkei and Hong Kong's Hang Seng, closed on the downside.