U.S. stock futures surged Friday morning as U.S. job losses slowed sharply in November and the unemployment rate unexpectedly declined, in a sign the labor market is finally starting to heal as the economy recovers.
After trading around 15 points higher prior to the report, Dow Jones Industrial Average futures jumped 110 points to 10460 in recent trading. Standard & Poor’s 500 futures added 14 to 1111.6 and Nasdaq 100 futures gained 21 to 1801.50.
Bank of America (BAC) announced it priced an offering of 1.286 billion common equivalent securities at $15 each. That will raise roughly $19.29 billion. The company said it will use the money, together with existing funds, to repurchase the preferred stock it sold to the Treasury Department as part of the Troubled Asset Relief Program, or TARP. Bank of America Corp. (NYSE:BAC, $15.76, +$0.11, 0.7%) fell 2.92 percent to $15.30 on Friday morning pre-market trading session, while on Thursday, shares of Bank of America climbed 0.7 percent and closed on $15.76, BofA jumped 6.49 percent in the past one month trading.
The U.S. Treasury Department’s refusal to sell its 34 percent stake in Citigroup Inc. is hampering the bank’s plans to repay $20 billion of remaining bailout funds, people familiar with the bank said. Citigroup Inc. (NYSE:C, $4.05, -$0.05, -1.22%) jumped 1.73 percent to $4.12 on Friday morning pre-market trading session, while on Thursday, shares of Citigroup dropped 1.22 percent and closed on $4.05.
JP Morgan Chase & Co (JPM) have announced that they are developing a new commercial mortgage-backed security, or CMBS concerning Inland Western Real Estate Trust Inc, rating company, according to a statement made by Realpoint. JPMorgan Chase & Co. (NYSE:JPM, $41.40, -$0.53, -1.26%) rose 2.03 percent to $42.24 on Friday morning pre-market trading session, while on Thursday, shares of JPmorgan fell 1.26 percent and closed on $41.40.
A company statement said Wells Fargo, which acquired Wachovia in December 2008, plans no layoffs and workers at the closing branches will be transferred to other local offices. Wells plans to close a total of 122 California Wells Fargo and Wachovia offices due to post-merger service overlaps. Wells Fargo & Company (NYSE:WFC, $26.49, -$0.96, -3.5%) jumped 2.23 percent to $27.08 on Friday morning pre-market trading session, while on Thursday, shares of Wells Fargo dropped 3.5 percent and closed on $26.49.
Royal Bank of Scotland has indicated it will bow to pressure to slash executive bonuses after a bruising row with the Treasury. According to the Financial Times, RBS insiders have said that payouts in its investment banking division would be “at the low, low end of the scale”, even if that meant losing experienced staff to better-paying rivals. Royal Bank of Scotland Group plc (NYSE:RBS, $11.43, +$0.16, 1.42%) fell 0.17 percent to $11.41 on Friday morning pre-market trading session, while on Thursday, shares of RBS rose 1.42 percent and closed on $11.43.
Take-Two Interactive warned its fiscal fourth-quarter results will miss expectations as the videogame maker put particular blame on its baseball games. The company said it likely won’t be profitable in the new fiscal year as analysts had anticipated. Take-Two Interactive Software, Inc. (NASDAQ:TTWO, $10.92, -$0.39, -3.45%) dropped 31.41 percent to $7.49 on Friday morning pre-market trading session, even on Thursday, shares of Take-Two Interactive Soft declined 3.45 percent and closed on $10.92.
Avago Technologies Ltd. (AVGO) swung to a fiscal fourth-quarter loss on a one-time charge related to its initial public offering in August, but the company said business recovered significantly in the second half of the fiscal year. Avago Technologies Limited (NASDAQ:AVGO, $15.93, +$0.32, 2.05%) rose 3.58 percent to $16.50 on Friday morning pre-market trading session, even on Thursday, shares of Avago climbed 2.05 percent and closed on $15.93.
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