JPMorgan Chase also issued a lackluster interest income outlook
Bank stocks are in focus today, after Federal Reserve Vice Chairman for Supervision Michael Barr announced a revised draft of the Basel rule, also known as "Basel Endgame." The regulation establishes how banks with more than $100 billion in assets must calculate the amount of capital they need to set aside to cover any losses. Barr also noted there will be another capital rule for global banks.
JPMorgan Chase & Co (NYSE:JPM) and Bank of America Corp (NYSE:BAC) shares are gapping lower today, with the former also struggling after President and COO Daniel Pinto tampered the company's interest income outlook. Below, let's dig into today's price action.
JPM is down 7% to trade at $201.74 at last glance, on track for its fifth loss in the past six sessions, as well as its worst day since early 2020. Shares are pulling back form their Aug. 30, all-time high of $225.48 and are now trading at their lowest level in four weeks as they test support at the 120-day moving average. So far in 2024, JPM has added 18.6%.
BAC was last seen down 2.8% to trade at $38.35, but still boasts a 34.9% year-over-year lead. While the stock's bounce off its lowest level since April fell short of the $41 level last week, long-term support at the 160-day trendline looks poised to contain any additional losses.