Investors went on the defensive Monday, Oct. 3, as theywaited for the jobs number to be released later in the week.
The SNL U.S. Bank Index slid 0.50% to 411.60 and the SNLU.S. Thrift Index fell 0.64% to 821.87. TheDow Jones Industrial Average shrank 0.30% to 18,253.85, the S&P 500 slipped0.33% to 2,161.20 and the Nasdaq composite index lost 0.21% to 5,300.87.
Financials as a sector continued to be dragged down by the"unfortunate one-two punch" of the back and forth stemming from theDeutsche Bank AGsettlement talks and the continuing fallout from the Wells Fargo fake accountscandal, said Art Hogan, chief market strategist at Wunderlich Securities.Hogan said the timing of the shadow is unfortunate, since the sector should be"catching a limelight" for positive factors like a potential interestrate increase and its relative affordability on a price-to-tangible-book basis.In the broader market, he attributed the decline to investors falling into a"wait and see" holding pattern as they set up for the jobs datarelease occurring later in the week.
"It being a jobs week, we tend to have this sort ofmeander, which is happening right now," he said. "I think that's justthe uncertainty that sets in in front of a jobs number, with a nationalelection and the overhang of the financials. It's one of those days where we'rein a wait-and-see mode and that tends to be more defensive."
New Orleans-based FirstNBC Bank Holding Co. requested a hearing before the Nasdaq ListingQualifications Panel by Oct. 5. The company's common stock is subject tosuspension Oct. 7 and delisting from the Nasdaq Global Select Market because ofpast due SEC reports. The company's stock rose 5.30% to $9.94.
Wells Fargo& Co. was down 1.02% to $43.83, while slipped only 0.13%to $15.63, CitigroupInc. declined 0.42% to $47.03 and JPMorgan Chase &Co. dropped 0.12% to $66.51.
In M&A, Capital One Financial Corp. announced it wouldacquire Cabela'scredit card operations, including $5.2 billion in credit card receivables andother assets and $5 billion in associated funding liabilities. The company'sstock gained 0.42% to $72.13.
Indiana, Pa.-based First Commonwealth Financial Corp. tanked 3.27% to $9.76after announcing it agreed to acquire Lewis Center, Ohio-based in acash-and-stock deal valued at approximately $14.50 per share, or approximately$106 million. DCB Financial was up in 75.03% to $13.39 in much-heavier thannormal trading.
Meta FinancialGroup Inc. and unit MetaBank agreed to acquire the assets and certain liabilities ofEaston, Pa.-based EPS Financial LLC, a subsidiary of Drake Enterprises Ltd.Shares rose 4.22% to $63.17.
Among notable movers, Ottawa, Ill.-based added 6.38% to$20.00; Nashville, Tenn.-based CapStar Financial Holdings Inc. rose 2.66% to $17.37;and Lafayette, La.-based MidSouthBancorp Inc. increased 2.40% to $10.65. Fresno, Calif.-basedCentral Valley CommunityBancorp tumbled 4.22% to $15.19, and Clearfield, Pa.-basedCNB Financial Corp.declined 4.06% to $20.30.
In the thrift space, Vancouver, Wash.-based added 1.67% to$5.47, and Flagstar BancorpInc. increased 0.40% to $27.86, while San Diego-based lost 3.13% to$21.70, and Farmington, Conn.-based First Connecticut Bancorp Inc. declined 2.59% to $17.33.
Market prices andindex values are current as of the time of publication and are subject tochange.