Updated with anannouncement from the MF Global trustee and a report by Credit Suisse.
NEW YORK (
Bank of America
(BAC - Get Report)
was the loser among the largest U.S. financial names Monday, with share dropping 5% to close at $5.49.
The broad indexes were all down over 2% as investors fretted over the expected failure of the congressional super committee to agree by its Nov. 23 deadline, on a combination of spending cuts and tax increases to trim the federal budget deficit.
KBW Bank Index
declined 3% to close at 36.40, with the 24 index components seeing declines of at least 1%.
Meanwhile, the trustee in charge of liquidating MF Global's brokerage unit of
following the firm's bankruptcy filing, said that "the apparent shortfall in what MF Global management should have segregated at US depositories may be as much as $1.2 billion or more," which is
more than double the original estimate for missing customer funds
While there was a lack of major news out of Europe, Credit Suisse released a report cheerfully entitled
The "Last Days" of the Euro
, in which a team of researchers argued that extraordinary measures will be need to be taken in order to avoid "the progressive closure of all the eurozone sovereign bond markets, potentially accompanied by escalating runs on even the strongest banks."
(C - Get Report)
were down nearly 5% to close at $25.00.
Large U.S. financials seeing shares dip 4% declines on Monday included
, closing at $4;
, at $13.60; and
American International Group
, which closed at $91.30.
Large U.S. banking names seeing 3% declines included
(BBT - Get Report)
, closing at $22.06;
Bank of New York Mellon
, at $18.42;
, at $24.09;
Fifth Third Bancorp
, at $11.52;
(KEY - Get Report)
, at $6.85;
(PNC - Get Report)
, at $50.97;
, at $3.97; and
(USB - Get Report)
, closing at $24.62.
Written by Philip van Doorn in Jupiter, Fla.
To contact the writer, click here:
Philip van Doorn
To follow the writer on Twitter, go to