U.S. Bank Shares Climb on Promise of $11 Billion Buyback Bonanza
- Goldman, Morgan Stanley advance more than 5% as S&P 500 drops
- Stress tests affirm banks’ balance-sheet strength, Katzke says
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Shares of the biggest U.S. banks rallied after the Federal Reserve said it would let stock buybacks resume as soon as next month, with as much as $11 billion headed to shareholders.
Goldman Sachs Group Inc. rose 6.1% at 9:47 a.m. in New York, while Morgan Stanley gained 5.3% and JPMorgan Chase & Co. added 3.8%. The industry bucked the broader market, which fell on concern about a new variant of the coronavirus emerging in the U.K.