Stocks Fall as Stimulus Hopes Fade, Banks Slump: Markets Wrap
- Mnuchin says it’s difficult to wrap up aid package before vote
- Wells Fargo tumbles after reporting 56% plunge in profit
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Stocks dropped after Treasury Secretary Steven Mnuchin down played the chances of striking a stimulus deal before the election.
Traders also parsed earnings from big banks, with Wells Fargo & Co. tumbling 6% after reporting a 56% plunge in profit and warning that net interest income could “get a little bit softer” in 2021. Bank of America Corp. slid amid an increase in trading revenue that was just a fraction of its competitors’ gains, while Goldman Sachs Group Inc. outperformed after earnings per share jumped to a record that was almost twice as high as analysts predicted. Energy stocks joined a rally in oil and as Concho Resources Inc. soared 10% on a news report that ConocoPhillips is in talks to acquire the company. The dollar fell.