Financial Winners and Losers: BofA

(Updated with final stock price moves throughout)

Financial stocks finished mostly higher Wednesday, after Bank of America (BAC Quote) was added to Citigroup's (C Quote) list of aggressive growth stocks.

In a research note, Citigroup analyst Keith Horowitz said that any uncertainty created as Bank of America completes its capital raising efforts will provide a good buying opportunity to own a "quality franchise with significant long-term earnings power." Bank of America has raised nearly $33 billion of the $33.9 billion required from the government stress test.

"We believe as [Bank of America] concludes its preferred conversions and capital plan, a major overhang on the stock will be lifted and investor focus will shift towards its solid long-term normalized earnings potential, which we expect will be achievable beginning in 2012."

That news overshadowed reports that BofA's asset-management unit was receiving lukewarm response from potential buyers. The Financial Times reported that BofA's Columbia Management unit isn't garnering the amount of interest the bank expected, with bids coming in around $2 billion, far less than the $3 billion BofA expected to get for the business.

In other bank news, Citigroup sharply increased the interest rates on as many as 15 million credit cards, a move that could spark political backlash as legislators attempt to curb consumer lending abuses, especially at banks that received bailout funds.

Citi has raised its credit card rates on between 13 million and 15 million co-branded credit cards, The Financial Times reported Wednesday, citing people close to the situation.

Meanwhile, Nomura Holdings (NMR Quote) will pay 19 billion yen ($197 million) to buy Citigroup's Japanese trust banking subsidiary NikkoCiti Trust and Banking Corp. The sale is expected to close in the fourth quarter, NikkoCiti said in a statement Wednesday.