4 Financial Stock Stories Making Midweek Mayhem
Wells Fargo & Co. (NYSE:WFC): Current price $42.45
On Wednesday, Wells Fargo announced that it had reached a $335 million resolution with a United States government agency regarding allegations that it had misled certain investors about its mortgage bonds. A Wednesday regulatory filing indicated that the bank made a settlement in the third quarter with Freddie Mac and its overseer, the Federal Housing Finance Agency, concerning claims that some mortgage bonds’ offering documents contained false information. Wells did not clarify how much of the $335 million accord related to Freddie Mac and how much was connected with a separate settlement it reached with Fannie Mae and the FHFA in the first quarter.
Lloyds Banking Group Plc (NYSE:LYG): Current price $
The United Kingdom’s number one mortgage lender has commenced an internal investigation into its currency-trading operations, while regulators everywhere probe the possible manipulation of foreign-exchange rates. Lloyds began the review after the Financial Conduct Authority asked it to examine its trading operations and report any irregularities, according to two knowledgeable sources, who emphasized that bank is not being formally investigated by any regulators, and that no traders have been put on leave, suspended or terminated.
The Blackstone Group LP (NYSE:BX): Current price $27.45
Investors in Blackstone’s debut sale of bonds backed by United States rental homes will accept more risk than they might in traditional mortgage deals by at least two metrics. Blackstone’s Invitation Homes borrowed more via Tuesday’s deal relative to the value of the houses serving as collateral for the bonds, than recent residential-mortgage securities, said data from ratings firms. The buffer to cover interest payments is also less than in deals connected with apartment complexes. Monthly rent checks from 3,207 properties will be utilized to service the $479.1 million worth of debt.
U.S. Bancorp (NYSE:USB): Current price $37.92
U.S. Bank debuts its new U.S. Bank Contour Card that affords customers the convenience of a debit card, the control of a bank account, and the convenience of cash. Cardholders may open as many as five additional card accounts that can be connected with their primary accounts. Additional cards are an effective and manner by which to give money to others, or to separate personal expenses such as gas, groceries, or bills.
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