The stock market was set to end a winning week on a sour note Friday, as JPMorgan Chase led a decline in bank shares after it warned a recession was its base case for the year.
The Dow Jones Industrials gained a slight 37.91 points to begin Friday at 34,227.88.
The S&P 500 fell 5.69 points to 3,977.48.
The NASDAQ Composite Index slipped 8.62 points to 10,992.48.
Stocks are still headed for a winning week, with the NASDAQ on pace for their best weekly performance since November. The NASDAQ is up about 3.5% for the week. The S&P has advanced 1.8%, while the Dow has added 1.5%.
JPMorgan Chase posted revenue that beat expectations, but the bank warned it was setting aside more money to cover credit losses because a “mild recession” is its “central case.” The bank posted a $2.3 billion provision for credit losses in the quarter, a 49% increase from the third quarter. The stock fell more than 3%.
Wells Fargo shares fell nearly 4% after the bank reported its quarterly figures. Bank of America moved slightly lower despite reporting better-than-expected earnings for the fourth quarter.
Delta Air Lines also reported earnings and revenue that beat estimates for the final quarter of 2022. However, the stock slid about 6%.
Prices for the 10-year Treasury were stationery, keeping yields at Thursday's 3.44%
Oil prices advanced 47 cents to $78.86 U.S. a barrel.
Gold prices prospered $15.30 to $1,914.10 U.S. an ounce.