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Earnings Slump at J.P. Morgan, And Continued Stress Is Expected
J.P. Morgan Chase & Co. (NYSE:JPM) on Wednesday posted a 50% drop in first-quarter net income as it marked down $2.6 billion in leveraged lending and mortgages and quadrupled its credit-loss provision.
Banks Results Provide Balm For Investors; Stocks Gain
Stocks rose Wednesday after better-than-expected results from J.P. Morgan Chase (NYSE:JPM) and Wells Fargo (NYSE:WFC) boosted sentiment at the height of earnings season.
U.S. Housing Starts Slide to Lowest Level in 17 Years
Housing starts in the U.S. dropped more than twice as much as forecast in March to a 17-year low, signaling that declining construction will keep eroding economic growth this year.
Merrill Upped Ante as Boom In Mortgage Bonds Fizzled
Some 10 months after the mortgage hurricane made landfall, Merrill Lynch & Co. (NYSE:MER) is still trying to dig out. On Thursday Merrill will report $6 billion to $8 billion in new write-downs, according to a person familiar with the matter.
What’s Next in Airline Mergers?
U.S. airlines — abuzz over the blockbuster merger deal between Delta Air Lines Inc. (NYSE:DAL) and Northwest Airlines Corp. (NYSE:NWA) — are already focusing on the next potential pairing as the fragmented industry struggles to cope with a harsh operating environment.
Eli Lilly To Reduce Employment By Up To 500 Jobs
Eli Lilly & Co. (NYSE:LLY) plans to streamline its manufacturing operation in Indianapolis by offering a voluntary exit program in order to reduce employment by up to 500 workers. The Indianapolis pharmaceutical company said the cuts will predominantly be in manufacturing with a small portion in research and development.
Dollar Falls to Record Against Euro as EU Inflation Quickens
The dollar fell to a record low against the euro as European inflation accelerated last month, reducing chances the European Central Bank will follow the Federal Reserve in cutting interest rates.
Google Sees Weakness In Clicks on Search Ads
The number of U.S. consumers clicking on Google Inc.’s (NASDAQ:GOOG) search ads was weak once again in March, according to data that renewed questions about the Internet search and advertising giant’s ability to meet consensus estimates when it reports first-quarter results on Thursday.
ArcelorMittal to Increase U.S. Prices by $250 a Ton
ArcelorMittal (NYSE:MT), the world’s largest steelmaker, plans to boost prices on some steel shipments in the U.S. by $250 a ton, or about 33 percent of current prices, to recoup surging costs for energy and iron ore.
Student Loan Corp. Suspends Loans
Student Loan Corp. (NYSE:STU) said it will suspend lending at certain schools and withdraw from the Federal Consolidation Loan market, becoming the latest company to pull in its horns regarding student lending.
WaMu Revises Pay Plan And a Director Resigns As Holders Press Change
Washington Mutual Inc. (NYSE:WM), under pressure from shareholders, will revise an incentive-pay program that shielded executives’ cash bonuses from some costs tied to mortgage losses and foreclosures.
Intel Net Falls 12%, But Forecast Is Bright
Intel Corp. (NASDAQ:INTC) posted a 12% drop in first-quarter profit, but indicated that healthy demand for its widely used microprocessors is offsetting recent problems in memory chips.
Knight Capital Group Profit Rises on Trading Gains
Knight Capital Group Inc. (NASDAQ:NITE), the brokerage that makes markets in 17,000 equities in the U.S., said first-quarter profit rose as trading gains outweighed investment losses at its hedge fund unit.
BlackRock Profit Misses Estimates as Hedge Funds Fall
BlackRock Inc. (NYSE:BLK), the biggest publicly traded asset manager in the U.S., reported first- quarter earnings that fell short of analysts’ estimates because of declines in hedge-fund and real-estate investments.
eBay Steps to the Plate
Since its last earnings report, online auction king eBay (NASDAQ:EBAY) has replaced its CEO, changed its fee structure and policies, and weathered a seller boycott.
Analysts chop State Street estimates; stock falls again
Wall Street analysts following State Street Corp. (NYSE:STT) slashed their profit outlooks on the financial-services giant after the company disclosed higher unrealized losses in its investment portfolio and structured investment vehicles.
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