JPMorgan Earnings Chase Banks Down — Thursday’s IP Market Recap

JPMorgan Chase (NYSE: JPM ) took a spanking Thursday as a reminder beating
earnings isn't always all it's cracked up to be and the rest of the
financial sector felt the paddle, too. JPMorgan reported earnings Thursday of
$1.02 per share 10 cents better than analysts' prediction however, JPM
suffered losses in fees from investment banking, debt underwriting and stock
underwriting, as well as a $347 million loss in its private equity business.
JPMorgan also was hampered by lawsuits over bad mortgages, and the company also
said it was going to lose about $300 million in debit card fees in the fourth
quarter thanks to a new Federal rule capping transaction charges. All that
cheery news led to an almost 5% haircut from JPM shares, or about a $1.60 drop
to $31.60. It also set the market to work fleecing other financial stocks. Among
the banking powerhouses eating big losses were Bank of America (NYSE: BAC ),
down 5.47% to $6.22, Citigroup (NYSE: C , -5.34%, $27.64), Royal Bank of
Scotland (NYSE: RBS , -6.08%, $7.73) and Barclays Plc (NYSE: BCS , -5.38%,
$11.09). JPMorgan's disappointing numbers set a gloomy tone for next week's
lineup of financial earnings reports, including Citigroup, Bank of America,
Wells Fargo (NYSE: WFC ) and Goldman Sachs (NYSE: GS ). Thursday also marked the
end of a three-day global service outage affecting millions of BlackBerry that
prompted an apology from Research In Motion (NASDAQ: RIMM ) founder and co-CEO
Mike Lazaridis. The problem, which started with a hardware error, was
exacerbated when a backup system "did not work the way we intended,"
Lazaridis told CNNMoney . Users' outrage apparently wasn't taken out on RIMM
stock, which lost just less than 2% since the start of the outage Tuesday,
closing Thursday's trading at $23.61. Three Up Sina Corp. (NASDAQ: SINA ):
Down 18.35% ($14.40) to $92.88. Range Resources Corp. (NYSE: RRC ): Up 8.77%
($5.52) to $68.44. Nvidia (NASDAQ: NVDA ): Up 5.82% (85 cents) to $15.46. Three
Down Blackstone Group (NYSE: BX ): Down 5.44% (78 cents) to $13.55. Silver
Wheaton Corp. (NYSE: SLW ): Down 4.79% ($1.57) to $31.21. Discover Financial
(NYSE: DFS ): Down 4.68% ($1.19) to $24.24. As of this writing, Kyle Woodley did
not own a position in any of the aforementioned stocks.