Financial Winners and Losers: BofA

Updated from 3:13 p.m. EDT

Financial stocks were flat as several big banks reversed recent losses on Monday, including Bank of America (BAC Quote).

BofA shares rose 19.4% to $3.75, after the Financial Times reported the company was preparing to issue debt that would be guaranteed under a Federal Deposit Insurance Corp. program.

Wells Fargo (WFC Quote) and US Bancorp (USB Quote) also were on the rise, after billionaire investor Warren Buffett, whose Berkshire Hathaway (BRK-A Quote) holds both stocks, have good prospects several years out. Wells shares were up 15.8% to $9.97, while US Bancorp shares rose 15.5% to $10.19.

Capital One Financial (COF Quote) shares also were up 5.1% to $8.73 after it quarterly cut its dividend to 5 cents from 37.5 cents to preserve more than $500 million a year.

Life insurers were a drag on the NYSE Financial Sector Index, which was recently down fractionally to 2,111.

Assured Guaranty (AGO Quote) was off 19.2%, Axa Financial (AXA Quote) was off 7.9% and Lincoln Financial (LNC Quote) lost 7.2%.