Janus and Regions: Financial Losers
NEW YORK (
)--Stocks were weak across the board Tuesday and financials were no exception. The U.S. dollar, which has strengthened in recent days on European debt concerns, got a further boost Tuesday following violence on the Korean Peninsula.
The
Financial Select Sector SPDR
(XLF) - Get Report
, a popular exchange traded fund that tracks financial stocks, fell 1.50% to $14.42 on lower-than-average volumes.
Volumes were lower than usual for most financial names, though
Janus Capital Group
(JNS)
saw a flurry of activity as the money management company disclosed Tuesday it had received a request for information in a broad probe of
by federal authorities first reported Friday on
The Wall Street Journal
's website. Janus, which also sold off Monday, fell another 2.83% to $10.65 on Tuesday on more than twice the average daily volume for the stock.
Wellington Management
and
also received inquiries,
The Wall Street Journal
reported Tuesday.
Goldman Sachs
(GS) - Get Report
which took a big hit Monday after it was named in the
Journal
report, was down again on Tuesday, though its 2.01% drop to $157.82 was slightly better than
Citigroup
(C) - Get Report
, which fell 2.03% to $4.10, and
JPMorgan Chase
(JPM) - Get Report
, which saw its stock fall 2.29% to $37.63.
Regions Financial
(RF) - Get Report
stock was downgraded to junk status ( BB+/B from BBB-/A-3, with a negative outlook) by Standard & Poor's on Tuesday on concern that more loan losses may erode the firm's capital. Regions ended the day down 14 cents at $5.21.
As for other big banks,
Bank of America
(BAC) - Get Report
lost 1.77% to close at $11.10, while
Morgan Stanley
(MS) - Get Report
dropped 1.56% to $24.67.
Wells Fargo
(WFC) - Get Report
which would seem to have the least to worry about among the big banks from either an insider trading crackdown or events outside the U.S., dropped a relatively modest 0.48% to finish the day at $26.82.
--
Written by Dan Freed in New York
.
Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.
