Banks brace for losses; Wachovia cuts dividend after $400M loss
CBS
Transcript
Wall Street is bracing for more bad news when the banks open their books City group and Merl Lynch are among the companies set to report earnings this week each are believed to have suffered losses Washington Mutual the nation's largest savings and loan is also anticipated to post a loss analysts predict JP Morgan Chase and Wells Fargo will report profits but below the level scene a year ago investors will scrutinize first quarter results from Bear Sterns to see how wise it was for JP Morgan to buy the struggling firm on Wall Street stocks finished a wobbly session lower on more bad news from the banking sector wacovia said it lost nearly $400 million and will slash its dividend as it tries to raise $7 million in badly needed cash in the end the Dow lost 23 points while the NASDAQ dipped more than 14 also on the calendar today a report on inflation at the wholesale level and homeowners are feeling the stress of the nation's housing crisis a new AP poll one in seven people fear they won't be able to make their mortgage payments soon and large numbers worry that the value of their home will fall on Wednesday we'll get the latest figures on new home construction for March and analysts are bracing for another down month that's your money watch click on cbsnews.com for more in New York I'm Alexis christopherus