Shares of banks and other financial institutions were more or less flat after strong earnings from European banks and a balanced statement from the Federal Reserve.
Treasury yields ticked up after the Fed statement, suggesting investors expect the central bank to begin a gradual tapering of asset purchases by the end of the year.
Barclays shares rose, bringing its one-year gains to roughly 70% after the British bank posted a manifold increase in second-quarter earnings to $2.92 billion. The results were an apparent vindication of Chief Executive Jes Staley's strategy of doubling down on investment-banking operations rather than exiting the volatile business as some investors had advocated.
Shares of German rival Deutsche Bank rose, but only slightly, as some analysts questioned the sustainability of its quarterly earnings growth.
Swiss bank Credit Suisse rose slightly ahead of its earnings, as it seeks to put missteps with Greensill Capital and Archegos Capital behind it.
Regional bank Citizens Financial Group agreed to buy smaller bank Investors Bancorp in a cash-and-stock deal worth about $3.5 billion.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
07-28-21 1705ET
