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Sunday, April 19, 2015, Baishakh 6, 1422 BS, Jamadius Sani 28, 1436 Hijr

US stocks drop as Greece debt issue
Published : Sunday, 19 April, 2015,  Time : 12:00 AM,  View Count : 13

NEW YORK, April 18: Large US banks bested earnings expectations this week, but stocks still lost ground due to worries about high equity valuations and the Greek debt crisis.
US stocks looked headed for another week of gains before deep losses Friday pushed the market into the red.
For the week, the Dow Jones Industrial Average fell 231.35 points (1.28 per cent) to 17,826.30.
The broad-based S&P 500 declined 20.88 (0.99 per cent) to 2,081.18, while the tech-rich Nasdaq Composite Index dropped 64.17 (1.28 per cent) to 4,931.81.
Art Hogan, chief market strategist at Wunderlich Securities, said investor sentiment is "cautious," in part because stocks are still so fully valued. "Sentiment probably gets better at lower" valuations, he said.
Earnings have so far been "better than very low expectations," Hogan said. "Next week, we'll have a much better read of a broader swath of corporate America."
Among the large banks, standouts included JPMorgan Chase, which rode strong gains in investment banking and trading to net income of $5.9 billion in the first quarter, an increase of 12.2 per cent from a year ago.
"We have an outstanding franchise which is getting safer and stronger, and is gaining market share over time," said JPMorgan chief executive Jamie Dimon, implicitly rebutting calls from politicians and some financial analysts to break up the largest US bank by assets.
Goldman Sachs also wracked up strong results, with profits rising 40 per cent from the 2014 first quarter, to $2.7 billion. Bank of America returned to profitability after a loss in the year-ago period, while Wells Fargo's profits edged lower but bested analyst forecasts.    ? Agencies

Editor : Iqbal Sobhan Chowdhury
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