We’re seeing mixed stocks on Tuesday following earnings from JPMorgan, Wells Fargo and Citigroup.
Stocks ended mostly lower Monday after California rolled back its reopening plans, with Gov. Gavin Newsom announcing he would close indoor dining, bars and movie theaters after the state reported a record number of hospitalizations of people with the coronavirus.
Now let’s take a look at bank earnings.
JPMorgan reported stronger-than-expected second-quarter earnings but said it would suspend its share buyback plans through at least the end of September and set aside more than $10 billion to absorb potential losses on bad loans.
“Despite some recent positive macroeconomic data and significant, decisive government action, we still face much uncertainty regarding the future path of the economy," said JPMorgan CEO Jamie Dimon. "However, we are prepared for all eventualities as our fortress balance sheet allows us to remain a port in the storm."
Wells Fargo posted its first loss since 2008, set aside $9.5 billion to cover loan losses and cut its dividend to 10 cents a share from 51 cents.
The bank reported a second-quarter loss of $2.4 billion, or 66 cents a share, a reversal from year-earlier earnings of $6.2 billion, or $1.30 a share.
And Citigroup posted better-than-expected second-quarter earnings as a surge in trading revenue helped offset a steep rise in credit loss provisions.
Following a mixed set of earnings and a Nasdaq selloff Monday, Jim Cramer said the super-growth stocks are rolling over a bit. Where's the money headed?
Jim Cramer breaks it down in the video above.