Investor Alert

Financial Stocks

May 17, 2011, 1:22 p.m. EDT

NYSE falls again; financials manage gain

By Greg Morcroft and Val Brickates Kennedy, MarketWatch

BOSTON (MarketWatch) — Shares of NYSE Euronext Inc. fell for a second day Tuesday after rivals Nasdaq OMX Group Inc. and IntercontinentalExchange Inc. withdrew their roughly $11 billion bid for the stock-exchange operator.

Shares of NYSE Euronext  shed almost 4%.

Click to Play

Blue chips tumble on housing, H-P

Stocks fall as weaker-than-expected readings on housing and industrial production combine with a negative outlook from technology giant Hewlett-Packard.

Analysts at Argus downgraded NYSE Euronext shares to hold from buy.

“With Nasdaq (NAS:NDAQ)  and ICE (NYS:ICE)  out of the picture, it’s highly unlikely that another suitor for NYX will emerge; it’s also unlikely that Deutsche Boerse (FRA:DE:DB1)   (OTC:DBOEY)  will increase its own offer,” the analysts wrote in their note.

Janus Capital Group Inc. , off almost 5%, was the steepest decliner among the financial stocks in the Standard & Poor’s 500 index (S&P:SPX) . On the upside, Wells Fargo & Co.’s (NYS:WFC)   shares added 2%.

In the broader financial sector, the Financial Select Sector SPDR exchange-traded fund (PSE:XLF) , which tracks the financial stocks in the S&P 500, recovered from an early slump, inching up 0.2%.

Among the four financial stocks in the Dow Jones Industrial Average (DOW:DJIA) , Travelers Cos. (NYS:TRV) , American Express Co. (NYS:AXP)  and Bank of America Corp. (NYS:BAC) fell. Meanwhile, shares of J.P. Morgan Chase & Co. (NYS:JPM) rose.

Link to MarketWatch's Slice.