Shares of banks and other financial institutions fell, and the Standard & Poor's 500 industry group was close to giving back its gains on the year as investors reconsidered the outlook for interest rates.
Treasury yields were flat as a recent rally petered out, suggesting investors are bracing for a prolonged period of economic weakness. Hopes that higher Treasury yields would translate to more profitable lending operations had buoyed the price of financial stocks in recent weeks.
Swiss bank UBS Group posted robust quarterly earnings, as its focus on the world's ultra-rich helped it ride out the impact of the coronavirus pandemic. Still, share gains were muted by the disclosure that Chief Executive Ralph Hamers is facing further investigation over his role in a money-laundering issue at his previous employer, ING Groep.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
01-26-21 1728ET
