Financials Reporting: Bank of America, General Electric

Bank of America 
Bank of America said Friday its first-quarter earnings rose 0.7 percent to $2.83 billion as strong trading revenue helped the bank offset continuing losses on consumer loans.

No love for the homes as the bank reported a $2.1 billion loss in its home mortgage business, but said its other consumer loan businesses were showing signs of healing.
This is a classic good news/bad news story as good news from the yield curve is making money for the traders, but bad news from the housing is still putting a 2+Billion dollar hole in Earnings.  The sheer amount that the Fed is allowing banks to capture through the yield curve is mind boggling.  That we are still losing 2 Billion a quarter 2 1/2 years into the housing debacle means big trouble for other financials with large housing exposure.  Look for "ginormous" taxpayer losses and Fannie, Freddie and GMAC.   

General Electric
General Electric Co. said Friday that its first-quarter earnings fell almost a third, but the industrial and financial bellwether said it saw signs of improvement in its own results and the broader economy.

The conglomerate's first quarter performance was a further reminder of the major challenges it faces as tries to return to profit growth. Its GE Capital lending unit posted a profit but losses remained high in areas like commercial real estate. GE's industrial units, which it is relying on to lead it out of the recession, also posted lower sales.
 Their earnings slipped 32% but still beat Wall Street forecasts.  Revenue was below forecasts. 


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