Financial stocks rose in premarket trading Monday, after J.P. Morgan analyst Vivek Juneja raised his price targets on a number of large-capitalization banks, as he removed his previous assumption that the Federal Reserve would cut interest rates in December. While expects near-term earnings for the group to be clouded by the "continued sizable decline" in net interest margin, he expects the pace of the decline to slow in 2020 given the Fed's less-dovish tone (Bank of America Corp. (BAC) rose 1.3%, after Juneja raised his price target to $33.50 from $33.00; Citigroup Inc.'s stock (C) tacked on 1.4%, as the price target goes up to $84.50 from $77.50; Wells Fargo & Co. shares (WFC) gained 0.9%, after Juneja raised his target to $51 from $48. Juneja also raised his targets for BB&T Corp. (BBT) to $57.50 from $53.50, Citizens Financial Group Inc. (CFG) to $43.00 from $39.50, Fifth Third Bancorp (FITB) to $33.50 from $30.50, PNC Financial Services Group Inc. (PNC) to $155.05 from $147.50, for Regions Financial Corp. (RF) to $19.00 from $17.50 and for U.S. Bancorp (USB) to $58.00 from $55.50.) last week. The SPDR Financial Select Sector ETF (XLF) rose 1.0% in premarket trading, while futures for the Dow Jones Industrial Average climbed 165 points, or 0.6%. Among the more active components, shares of
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
November 04, 2019 08:52 ET (13:52 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.