Shares of banks and other financial institutions fell sharply after regional bank earnings.
Shares of Fifth Third Bancorp tumbled after the regional bank forecast continued growth in consumer deposits. KeyCorp shares fell after it posted earnings short of some investors' expectations. Shares of rivals such as PNC Financial fell in sympathy.
The yield on the 10-year Treasury note remained under pressure as comments from travel industry executives called into question investors' visions of a snapback return to prepandemic consumer and business behavior. "We have a moderately preferred view of U.S. financials reflecting improving fundamentals and still attractive valuations against a backdrop of a broadening economic recovery this year," said strategists at money manager UBS Global Wealth Management, in a note to clients.
Property-and-casualty concern Travelers Cos' pretax catastrophe losses more than doubled from a year ago for the company's first quarter, due in part to winter storms, although shares rose, a sign investors had already factored in troubles to their calculations.
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(END) Dow Jones Newswires