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Bank of America Flips 180 Degrees on $6 Billion Bad Mortgage Hit

This morning, Bank of America (BAC) provided a great example of just how quickly a bank can go from ‚??have‚?Ě to ‚??have not.‚?Ě

Bank of America Flips 180 Degrees on $6 Billion Bad Mortgage Hit (Bloomberg)

Just as the economic disparity between the haves and the have-nots is rising in the United States, so too is the profitability gap within the banking industry. And this morning, Bank of America (BAC) provided a great example of just how quickly a bank can go from ‚??have‚?Ě to ‚??have not.‚?Ě Just last year, the company‚??s first quarter profit was $1.48 billion, or 10 cents a share profit. BAC‚??s loss for the just-completed first quarter was $276 million, or 5 cents a share. BAC‚??s struggles began seriously about five years ago, with its acquisition of Countrywide Financial Corp and that bank‚??s portfolio of bad mortgages. If you‚??ve been considering taking the plunge into U.S. financials, you may want to consider players like Wells Fargo & Co. (WFC), the nation‚??s #1 home lending institution (up 14 percent in Q1), or Citigroup, Inc. (C), up 3.5 percent year-to-date.

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Bank of America Flips 180 Degrees on $6 Billion Bad Mortgage Hit

Bank of America Flips 180 Degrees on $6 Billion Bad Mortgage Hit (Bloomberg)

Just as the economic disparity between the haves and the have-nots is rising in the United States, so too is the profitability gap within the banking industry. And this morning, Bank of America (BAC) provided a great example of just how quickly a bank can go from ‚Äúhave‚ÄĚ to ‚Äúhave not.‚ÄĚ Just last year, the company‚Äôs first quarter profit was $1.48 billion, or 10 cents a share profit. BAC‚Äôs loss for the just-completed first quarter was $276 million, or 5 cents a share. BAC‚Äôs struggles began seriously about five years ago, with its acquisition of Countrywide Financial Corp and that bank‚Äôs portfolio of bad mortgages. If you‚Äôve been considering taking the plunge into U.S. financials, you may want to consider players like Wells Fargo & Co. (WFC), the nation‚Äôs #1 home lending institution (up 14 percent in Q1), or Citigroup, Inc. (C), up 3.5 percent year-to-date.

Newsletter Signup.

Sign up to the Human Events newsletter

TRENDING NOW:

YouTube Won’t Let You Watch Lauren Southern‚Äôs ‘Borderless’

FOREIGN AFFAIRS

DONKTUM: Restricting the Range of Consciousness.

CULTURE

Lauren Southern’s Borderless Deleted By YouTube. ENOUGH.

U.S. POLITICS

Farage: ‘No No to BoJo’.

FOREIGN AFFAIRS

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