As the rapid deterioration of credit condition, the continuing decline in the European financial stocks also began to influence their U.S. peers.
Performance of the European and the U.S. financial sectors are deteriorating rapidly. In Europe, there has been a large number of financial stocks being curbed to rise, and starting to decline. Accompanied by the negative performance of the credit conditions, the declines in bank shares are strengthened.
The U.S. stock market fell back from yesterday’s rising trend, the major financial stocks performed much worse than the big board, it seems that these stocks suffered severe blows by the ugly reality of the credit markets. The Morgan Stanley stock price fell 2.51%; the Citibank stock price dropped 2.43%; the Bank of America and Goldman Sachs Group stock prices fell 3.27% and 1.45 % respectively, the JP Morgan share price movement was consistent with the decline in the financial sector exchange-traded funds, which was 0.99%; the Wells Fargo stock price performed slightly better, while still fell by 0.65%.
The trading volume of financial stocks increased today,, while a bunch of financial company’s share prices moved down to test their respective 200-day moving average.