Bank of America, Citigroup Post Ugly Wins

Standard & Poor's applies new criteria to banks around the world

(AP) - Standard & Poor's is adjusting the ratings on 37 of the world's largest financial institutions, and that means downgrades for the biggest banks in the US. Bank of America and its main subsidiaries were among those cut at least one notch today, along with Citigroup, Goldman Sachs, JPMorgan Chase, Morgan Stanley, and Wells Fargo. More»

(NEWSER) - CEOs and investors have springs in their steps. After a week full of positive earnings reports, many now believe worst is over, the Wall Street Journal reports. Yesterday saw a slew of reports that matched or beat estimates, including Motorola, Goodyear, Sony, and Kellogg Co. The economy “has found bottom,” says Dow Chemical’s CEO, “but will be slow in recovering.” More»

(NEWSER) - In the wake of reports that complaining banks cajoled the Federal Reserve into sweetening some stress test results, the Wall Street Journal looks at the hard numbers. Citigroup, for example, was originally supposed to raise $35 billion; the number eventually released was $5.5 billion. The total for Bank of America, meanwhile, shrank from more than $50 billion to $33.9 billion. More»

(NEWSER) - Federal Reserve regulators are urging Bank of America and Citigroup to raise more capital, based on their preliminary stress test results, sources tell the Wall Street Journal. Sources familiar with Bank of America say the shortfall numbers in the billions. But both banks are protesting, with Bank of America expected to issue a detailed appeal today. More»

(NEWSER) - Bank of America’s net income in the third quarter nearly tripled last year's, hitting $4.24 billion, or 44 cents a share, the company announced today, a figure that surpassed even the loftiest analyst expectations. The drastic turnaround will likely take pressure off embattled CEO Ken Lewis, who’s been raked over the coals for his big mergers last fall, Bloomberg reports. Merrill Lynch trading and refinancings at Countrywide helped drive the earnings surprise. More»