JP Morgan decreased assets in the second quarter by $47.5 billion to $2.027 trillion, which is 14.1% of the $14.409 trillion of total assets in the banking system.
Wells Fargo (WFC) ($41.43 vs. $44.45 on July 19) set a multi-year high at $44.78 on July 23 then traded as low as $40.92 on Aug. 30. This hold rated bank is below its 50-day SMA at $42.77 with a semiannual value level at $40.04 and this month's risky level at $44.12. My annual value levels lag at $34.17 and $32.82.
Wells Fargo increased assets in the second quarter by only $25.5 million to $1.332 trillion, which is 9.25% of the total assets in the banking system.
In total the four 'too-big-fail' banks have $6.333 trillion of the $14.410 trillion assets in the banking system which is a concentration of 43.95%, down slightly from 44.04% at the end of the first quarter. In my judgment a single bank should not be allowed to control more than 10% of the total assets in the banking system, which means that the Bank of America and JP Morgan should be forced to reduce assets.At the time of publication the author held no positions in any of the stocks mentioned. Follow @Suttmeier This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.
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