Shroud of Uncertainty (NYSE: BAC)

NEW YORK - Shares of the Charlotte, North Carolina based bank continued to tumble following it quarter three results, where the bank recognized an adjusted $3.1 billion of profit or 27 cents a share. When the bank posted its results its shares traded at $12.35, today they trade at 11.36, which is a decline of 8%. The company has increased its common equity ratio to 8.5%, which is well above the minimum that will be required by Basel regulators.

The shares have tumbled as they have been hit by analyst downgrades and fear. In its conference call the bank said it added $370 million to its provisions for the foreclosure scandal. The current scandal sweeping the nation, involves bank employees foreclosing on homes without necessary documentation. This has surrounded the bank with a shroud of uncertainty as investors have taken the approach of sell first ask later. Despite the weak share price results, the company has improved its financial strength over the last year.

To see our full BAC report Click Here

The Bank of America "Sell Hoff" (NYSE: BAC)

NEW YORK- Bank of America shares are currently off 0.41% after being down nearly 2% earlier in the day. A "sell hoff" is Wall Street jargon for an illegitimate hoax sell off. The bank headquartered out of Charlotte North Carolina posted $3.1 billion of profit or 27 cents a share not including the $10.4 billion for the impairment of good will. With this charge the bank lost $7.3 billion. The bank saw its tier 1 common equity ratio rise to 8.4% and improved its tangible book value to $12.94 a share from $12.14. BAC also said non performing loans declined. Despite this positive news the stock is still currently down on the day.

Bank Posts A Real Profit(NYSE: BAC)

NEW YORK- Third quarter results released by banking giant, Bank of America showed Net income of $3.1 billion or 27 cents. This is with the exclusion of a goodwill impairment charges for $10.4 billion when including this BAC posted a loss of $7.3 billion. Allan Edwards the CEO of The Markets Are Open said "the results were impressive while interest income was essentially flat, BAC had continuing loan quality improvement."

The company has increased its common equity ratio to 8.45% which is well above the minimum that will be required by Basel regulators by 2014. Basel regulators currently feel 4.5% is the minimum common equity ratio with a 2.5% buffer or 7%. Tangible book value increased to $12.91 from $12.14 in the previous quarter. Non performing loans decreased by over 1 billion dollars.

BAC stock is currently up 3 cents in the premarket or 0.24%

BAC in Action (NYSE: BAC)

Bank of America Corporation (NYSE: BAC) the nations largest bank is set to report quarterly results on Tuesday before the bell. Analysts expect the company to report between $0.09 per share on the low end and $0.25 per share on the high end. The consensus estimate is for $0.16.

The bank stocks have been repeatedly bashed by negative headlines and short sellers.

Bank of America is expected to give clarification on foreclosure scandals that some estimate could cost the banking sector over $80 billion.

The financial sector has greatly underperformed the market year to date. Investors are looking for positive results to revive bank stocks and dissipate the pessimism.

To read Edwards' full BAC report, click here.

This is How We "Douze" It (NYSE: BAC)

New York- Bank of America stock is back to Douze in French or in English twelve. The largest bank in the United States and one of the ten largest in the world passed the humbling number earlier this morning after initially struggling and reaching a low of $11.83 a share. Bank of America is set to report its Q3 results Tuesday morning. Investors will look if the bank is still continuing to have problems with its troubled Country Wide Financial and Merill Lynch. Investors will also ask for an update regarding the banking giants role in the foreclosure scandal that has rocked the nation and caused a temporary moratorium on current foreclosures.

BAC to Twelve (NYSE:BAC)

New York- Bank of America Corporation is "back" above $12 a share after flirting with the $11 dollar figure for some of the morning. Shareholders are bidding up Bank of America stock as they have noticed that beleaguered bank Citigroup has a market capitalization of $118 billion which has closed in on Bank of America's $120 billion. This is despite the fact BAC has over $400 billion more assets.

Citigroup has been able to attain a similar market cap as of today as compared to BAC despite the government still having ownership in the bank and that Citigroup currently operates in two segments Citicorp and Citi Holdings due to its problems.

The Banking (NYSE: BAC) (NYSE:WFC) Week (NYSE:PNC) in (NYSE: C) (NYSE:USB) America

LIVERPOOL - Major banks report earnings next week. The banks have been beaten to a pulp as of late as investors look for information regarding the foreclosure scandal. Investors will be clued in to conference calls from BAC, WFC, C, USB, PNC. All these stocks were brutally punished last week (except USB) but clarity will be given this week. Investors often enjoy selling the news when there is negative sentiment no matter what it is, and this may happen also next week.

Most of the banks are nearing their 52 week lows, including BAC which hit a fresh 52 week low of $11.75 on Friday. The current market capitalization of BAC is now equivalent to that of more troubled Citigroup. In fact larger J.P Morgan only has a $30 billion premium to that of Citigroup despite not facing many of the problems that have plagued Citi.

A Week You Can Bank On (NYSE: BAC) (NYSE: WFC) (NYSE: PNC) (NYSE: C) (NYSE: USB)

LIVERPOOL - Major banks report earnings next week. The banks have been beaten to a pulp as of late as investors look for information regarding the foreclosure scandal. Investors will be clued in to conference calls from BAC, WFC, C, USB, PNC.

All these stocks were brutally punished last week (except USB) but clarity will be given this week.

The banks stocks could sell off further on the news.

Banking (NYSE:WFC) on America (NYSE:BAC) (NYSE:C)

Bank of America Corporation (NYSE:BAC) hit a fresh 52-week low on Friday as worried that the foreclosure crisis may eat into BAC profit. The scandal involves foreclosures on houses by the banks without the necessary documentation and the foreclosure of houses using robo-signers which is when workers involved in forclosures indicate the documentation is present when it is not. J.P Morgan the second largest bank in the U.S. already took a charge in their third quarter report relating to the mortgage foreclosure scandal. Despite this charge JPM posted $4.4 billion of profit. Investors are afraid that Wells Fargo will have to report a similar charge. It has been reported Xee Moua a vice president of loan documentation for Wells Fargo, the second-largest US mortgage servicer, had pushed through 500 foreclosures a day.

The financial sector has continued to be beaten down since mid April. The stock reached a low of $11.74 today, valuing the company's market capitalization close to Citigroup levels. Citigroup currently has a market capitalization of only $6 billion dollars less than BAC despite having less assets and a lower book value.

To see the BAC report Click Here

To see the Wells Fargo Report Click Here

Banking Worries Are Bac; Outlook Gloomy (NYSE: BAC)

Bank of America Corporation (NYSE:BAC) hit a fresh 52-week low today after General Electric (NYSE: GE) reported poor banking results for its financial component, GE Capital. Investors were negatively surprised when General Electric blamed its Wall Street "miss" on reduced assets at GE Capital. GE's financial unit, a small division of GE, and a bell weather for the entire financial sector, sent the whole group back down to new lows.

The financial sector, in particular Bank of America, has been beaten down since mid April. The stock reached a low of $11.74 today, valuing the company's market capitalization close to Citigroup levels. These valuations have not been seen since emerging from the 2009 recession lows.

Investor sentiment weakened, as the sell off continued and short sellers moved in. Lawsuits were estimated by one analyst to be over $80 billion for both JP Morgan and Bank of America over home foreclosures.

"I estimate that the lawsuits could come in at over $80 trillion," joked Andy "Raw" Kibbens, co-CEO of The Markets Are Open. "But seriously, this is not the next BP as I heard some people on the Street were saying this morning. BAC has the government's backing. Bernanke knows what he's doing. I have confidence in the US economy."

To read Edwards' full report, click here.

Banking (NYSE:BAC) on (NYSE:WFC) America's (NYSE: C) (NYSE:JPM) (NYSE:PNC) (NYSE:USB) (NYSE:BBT) Weak Stomach

Stocks of the largest financial institutions at midday. Wells Fargo is down 3%, JPM 3%, BAC 4.7%, C 2% PNC 1% USB is up .7% and BBT is down 0.83%. The banks are being sold off on "Robogate" which is a foreclosure scandal that could hit many of the nations lenders.

The scandal involves foreclosures on houses by the banks without the necessary documentation and the foreclosure of houses using robo-signers which is when workers involved in forclosures indicate the documentation is present when it is not. This has caused an investigation into whether the banks have violated the law in certain states.

J.P. Morgan is currently reviewing about 115,000 mortgages that are in the foreclosure process and is expanding the temporary moratorium to 41 states.

To give investors a hint on why the current declines in the banking stocks are absurd. Is that the current number of J.P Morgan houses under review where to triple to 345,000 and we use an average home value of 300,000 and we write off all J.P. Morgan's loans on these homes to zero you get a charge of 10 billion. Not only will JPM likely not have to write off any of these loans, it is also likely they will face a very small legal charges.

J.P. Morgan's market cap has already declined by more than our most absurd scenario. This usually gives a hint into that the big fund managers and the people selling the stock have no idea what they are doing.

PNC (NYSE:PNC) Wells Fargo (NYSE:WFC) Citigroup (NYSE:C) J.P. Morgan (NYSE:JPM) Bank of America (NYSE:BAC) U.S Bancorp (NYSE:USB) Face "Robogate"

Stocks of the largest financial institutions were off as the markets open. Wells Fargo was down 4%, JPM 3%, BAC 4%, C 3.2% PNC 2.1% and USB is down 1.7%. The banks are being sold off on "Robogate" which is a foreclosure scandal that could hit many of the nations lenders.

The scandal involves foreclosures on houses by the banks without the necessary documentation and the foreclosure of houses using robo-signers which is when workers involved in forclosures indicate the documentation is present when it is not. This has caused an investigation into whether the banks have violated the law in certain states. Banks are known to be more at risk in the "so-called judicial states." The Judicial States make it mandatory for a lender to go to court before it can foreclose on a loan. In non-judicial states, banks aren’t required to submit anything to the court until they are sued by a homeowner seeking to stop a foreclosure. The problem can be two-fold for the banks. The first one being that they may have violated the law in certain states and the second one being they do not have the necessary documentation required for future foreclosures.

Some of the banks are having trouble of identifying the owner of the actual mortgages. This was caused by the securitization of the mortgages industry which also led to the financial crisis in 2008. The securatization is the repackaging of mortgages into smaller pieces and then selling them like bonds or stocks to investors. The issue would be if banks have submitted forged documents in order to get the foreclosure processed and if the banks have the documents necessary to foreclose on future loans. All of these problems are rectified if the banks prove they own the mortgage.

One would hope that a bank which primary business is usually mortgages would keep appropriate documentation to prove that they own their most important asset. If the banks do not have this documentation who is the customer and who is the bank?