Shares of banks and other financial institutions fell sharply after another round of weak earnings.
Charles Schwab declined after the retail brokerage's fourth-quarter earnings lagged the average Wall Street estimate, reflecting a slowdown in demand for stock trading among small investors after a brutal year for markets.
One brokerage said investors had laid optimistic bets in the financial sector ahead of the earnings season, with "cyclical inflows recently outpacing defensive inflows and Financials...seeing recent flow momentum," said analysts at brokerage Bank of America Global Research, in a note to clients.
Cryptocurrency conglomerate Digital Currency Group is set to file for bankruptcy for its lending unit, Genesis Global Capital.
The firm's CoinDesk, a cryptocurrency-focused media unit, has retained investment bankers at Lazard to explore a potential sale, The Wall Street Journal reported.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
01-18-23 1709ET
