New York, Feb 12, 2026, 15:41 EST — The regular session is underway.
- Shares of Wells Fargo slipped during afternoon trading amid a broader pullback in U.S. financial stocks.
- After Friday’s inflation figures, traders are adjusting their positions, following a robust jobs report that shifted expectations around rate cuts.
- This week, Wells Fargo management highlighted loan growth in cards and autos, noting credit remains stable.
Shares of Wells Fargo & Company dropped 2.7% to $86.53 Thursday afternoon, lagging behind the broader market. By comparison, the Financial Select Sector SPDR Fund declined 1.5%, while the SPDR S&P 500 ETF slipped 1.2%.
The pullback followed investors gearing up for Friday’s U.S. consumer price index release, after Wednesday’s stronger-than-expected jobs data dampened hopes for imminent Federal Reserve rate cuts. The 10-year Treasury yield slipped to roughly 4.106%. “The bull case on the Fed cutting … was challenged,” noted Jay Hatfield, CEO and CIO at Infrastructure Capital Advisors in New York. Reuters
Wells Fargo remains focused on expanding its balance sheet. Speaking at a UBS conference Tuesday, CFO Mike Santomassimo said the bank anticipates loan growth this year, driven by credit cards and auto loans. “On the card side, we’re seeing good growth there,” he noted. He highlighted strong momentum from Wells Fargo’s preferred financing deals with Volkswagen and Audi, adding, “Credit performance is still very good.” Mortgages, meanwhile, are expected to stay mostly flat. Reuters
Other major banks took a hit as well. JPMorgan Chase slid 2.5%, Bank of America dipped 2.1%, while Citigroup plunged 4.8%.
Wells Fargo slipped 3.22%, closing at $88.95 on Wednesday, roughly 9% off its 52-week peak reached on Jan. 5, according to MarketWatch data. Trading volume hit about 15.4 million shares, a bit above its 50-day average.
The rate story can still turn on banks quickly. A hotter CPI print might reinforce the “higher-for-longer” view, pushing up funding costs and raising credit concerns. On the flip side, a cooler number could drag yields lower and tighten margins.
Wells Fargo’s investment bank remained active on major transactions. It teamed up with Barclays to advise Schroders on its 9.9 billion pound ($13.5 billion) sale to Nuveen, Reuters reported.
WFC’s near-term moves will probably depend on the familiar trio traders have focused on this month: inflation, yields, and how aggressively the market prices in the first Fed rate cut.
The January CPI report, set for release at 8:30 a.m. EST this Friday, stands as the key trigger. It might shake up rate-cut expectations and drive bank stocks heading into next week.
