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Why Citigroup Is Down Big Today

http://www.fool.com/investing/general/2013/05/01/-214.aspx

John Grgurich
May 1, 2013

About one hour into the trading day, Citigroup (NYSE: C) is already down 1.76%. The big-four banks have all been taking it on the chin to one degree or another for the past couple of weeks, and it looks like the beatings are set to continue today.

Down markets, down sector
Here's where the rest of the big four and the markets are shaking out at the beginning of the trading day:

  • Bank of America (NYSE: BAC) is already down a big 1.26%.
  • JPMorgan Chase is down an even bigger 1.78%.
  • And Wells Fargo (NYSE: WFC) is down a mush-less dramatic 0.55%. (Wells' ups and downs are rarely as extreme as those of B of A, Citi, or JPMorgan, to which I credit the generally non-speculative nature of its investors. Wells is a Berkshire Hathaway¬†holding, after all, and Warren Buffett is nothing if non-speculative. It must have rubbed off.)

The markets are all in the red today, too, with the Dow Jones Industrial Average down 0.31%, the S&P 500 down 0.30%, and the Nasdaq Composite down 0.38%.

Foolish bottom line
After B of A missed analysts' first-quarter earnings expectations two weeks ago, the big four banks have experienced some radical swings both up and down, and that seems to be continuing today.

There's also some broad economic news that's undoubtedly affecting not just bank stocks but the rest of the market, as well. Payroll processing giant ADP is reporting worse than expected private-sector jobs growth for April, with a net 119,000 hired for th