Top Financial Stocks
Financial stocks are little changed in afternoon trade, with the
NYSE Financial Sector Index down about 0.1% while the S&P
Financial 100 Index is up less than 0.1%.
In company news, American depository shares of Credit Suisse
Group AG (
) are down nearly 7% at $28.78 each following reports Swiss
politicians are pushing for stricter bank capital rules.
Swiss politicians in recent weeks have proposed rules that could
force the two banks to make far fewer loans and investments in
relation to the capital they keep on hand, according to the Wall
Street Journal. One proposal, supported by left-leaning Social
Democrats, would force Swiss banks to maintain minimum leverage
ratios of 10% - meaning they would have to hold 10 Swiss francs for
every 100 francs they hold in assets.
The right-wing People's Party would require a 6% minimum while
current rules call on banks to boost their leverage ratios above 4%
within the next five years. CS recently reported its ratio had
reached 3.5%, the newspaper said.
The proposals also are taking a big bite out of ADS of UBS AG (
), last trading down 5.75% at $18.11 each. UBS currently has a
leverage ratio of around 3.2%.
In other sector news,
(+) RLGY, (+8.5%) Earns $1.03 per share in Q3, ex items, beating
expectations by $0.16. Revenue rose 21.2% year over year to $1.55
bln, exceeding consensus view by about $70 mln.
(-) CME, (-0.9%) Q3 EPS of $0.75 per share, ex items, beats by
$0.02. Revenue rises 4.6% over the same quarter last year to $714.6
mln, topping the analyst consensus by $1.03 mln.
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