(Updated with closing stock price moves throughout.)Financial stocks finished mostly lower Tuesday, with Wells Fargo ( WFC) among the losers a day before the bank is scheduled to report quarterly results. Wells Fargo, set to report before Wednesday's opening bell, is expected to post a quarterly profit of 34 cents a share on revenue of $20.49 billion, according to Thomson Reuters. In April, the bank easily beat Wall Street's estimates and even came in a penny higher than its earnings preannouncement, although Wells Fargo continued to post higher credit costs. On Monday, Bloomberg reported that Wells Fargo gained small-business customers in the quarter that ended in June as CIT Group ( CIT) ran short on cash, citing the Coleman Report, a newsletter that provides weekly data on small business lending in the U.S. Wells Fargo shares slipped 17 cents, or 0.7%, to closet at $25.35. Meanwhile, Regions Financial ( RF) dropped more than 15% after the bank reported disappointing second-quarter results. Regions swung to a second-quarter loss 28 cents a share, coming in worse than the Thomson Reuters average estimate for a loss of 22 cents a share. Even worse, Regions said loan-loss provisions jumped to $912 million from $309 million a year ago and $425 million in the previous quarter. Shares tumbled 62 cents, or 15.4%, to $3.42. State Street ( STT) also swung to a second-quarter loss. The Boston-based bank reported a loss of $3.3 billion, or $7.12 a share, compared with a profit of $548 million, or $1.35 a share, in the year-ago quarter.
State Street shares shed $1.88, or 3.9%, to $46.93. Other regional banks traded lower in sympathy. Pacific Capital Bancorp ( PCBC) dropped 16.8%, SunTrust Banks ( STI) lost 5.4%, Fifth Third Bancorp ( FITB) was down 5.3%, and PNC Financial ( PNC) gave back 1.2%. Large banks also finished to the downside Tuesday. Citigroup ( C) continued its recent slide, falling 5%. The stock is now lower by 16.4% over the last four sessions. Meanwhile, Morgan Stanley ( MS) shares lost 2.8%, UBS ( UBS) slid 1.9%, Goldman Sachs ( GS) dipped 0.1%. Elsewhere, Bank of America ( BAC) shares relinquished early gains and finished down 0.4%. JPMorgan Chase ( JPM) also turned negative after early gains, ending the day 0.1% lower. Among analyst moves, Citigroup downgraded Zions Bancorp ( ZION) to sell from hold, cutting the stock price target to $9 from $12. Zion shares dropped $1.52, or 12.4%, to $10.70.