Why Wells Fargo Stock Was Sliding Today
Shares of Wells Fargo (NYSE: WFC) were pulling back today as part of a broader sell-off in the market as investors responded to rising coronavirus cases in Europe and fears of another wave in the U.S. The death of Supreme Court Justice Ruth Bader Ginsburg over the weekend also weighed on investors, as the push to nominate another justice is likely to take priority in Congress over passing another stimulus package. Finally, bank stocks were down broadly after Buzzfeed published an investigative report showing that big banks around the world have moved trillions of dollars for criminals, including terrorists and drug lords, even in the face of stricter regulations. Though Wells Fargo was not named in the report, the bank is reeling from an earlier scandal in its consumer banking division, and regulators, as well as the general public, may come down hard on the bank for any money laundering it may have enabled.
As of 2:23 p.m. EDT the stock was down 4.8%, while the rest of the Big Four banks (JPMorgan Chase, Citigroup, and Bank of America) were down nearly as much.
Image source: Wells Fargo.
Source Fool.com
