Bad news from US banks. After the mixed result of the two quarterly published yesterday, with the growth of Wells Fargo but the difficulties of JP Morgan, today both Citigroup and Bank of America are disappointing. The former closed the fourth quarter with earnings per share of $0,06 and revenues of $17,81 billion, substantially stable from $17,78 billion a year earlier. Expectations processed by Thomson Reuters I/B/E/S converged on a higher EPS, at $0,09. The Tier 1 common ratio according to Basel 3 stood at 10,5% at the end of December against 10,7% at the end of September.
Bank of America, on the other hand, closes the fourth quarter with profits down 14%, mainly due to lower revenues from fixed income trading activities. attributable net income fell to $2,74 billion, or 25 cents per share, from $3,18 billion (29 cents) in the same period in 2013. Analysts on average had expected EPS of 31 cents, according to Thomson Reuters I/B/E/S estimates. It is not clear at the moment whether the two figures are comparable. Both stocks lose more than 2% in the pre-exchange on Wall Street.
