Financial stocks swung to losses in premarket trade Friday, after a big miss in the May jobs report (Bank of America Corp. (BAC) swung to a loss of 1.0% after being up 0.3%; Citigroup Inc. (C) dropped 1.1% after being up 0.3%; and Wells Fargo & Co. (WFC) lost 0.7%, after gaining less than 0.1%. The yield on the 10-year Treasury note fell 3.9 basis points toward a 21-month low of 2.084%. Lower longer-term interest rates could hurt bank profits, as it could narrow the spread between what the banks make on longer-term assets, such as loans, and the costs of shorter-term liabilities. Meanwhile, futures for the Dow Jones Industrial Average inched up 4 points.) sent Treasury yields lower ( ), which could weigh on bank profits. The SPDR Financial Select Sector ETF (XLF) fell 0.4% in premarket trade, after being up 0.3% just before the data was released. Among the ETF's most heavily weighted components, shares of J.P. Morgan Chase & Co. (JPM) fell 0.7% after being up 0.3% just before the data;
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
June 07, 2019 08:43 ET (12:43 GMT)
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